Selecting a mortgage note buyer can be difficult if you don’t know the right questions to ask. This article features 5 questions to ask when selecting a mortgage note buyer in any market.
While the process might seem arduous, you must remember that you have the upper hand. There are a variety of selling options available and the mortgage note buyers are competing to have you as a customer.
As a note holder selecting a mortgage note buyer, your process will be different than if were looking for a traditional real estate agent. Here are a few great questions to help you in your search.
What are Your Terms, and Are There Additional Fees?
You will obviously want to know if the note buyer will buy the entire note or if he/she has partial purchase options that would better accommodate your needs. In addition, you should always ask if there will be additional fees. These can be legal fees, underwriting fees, administrative fees, etc.
These fees can greatly impact your sales proceeds if they are not accounted for from the beginning. Make sure that there are not any prepayment penalties you might be charged if the real estate note is paid off early.
Is There Mortgage Note Criteria That Must Be Met?
Make sure you understand if there are any geographic boundaries or limitations on the type of mortgage notes, the mortgage note buyer is able to purchase. Make sure you fully understand what types of mortgage notes the note buyer will purchase.
Are there minimum payer credit scores required by your mortgage note buyer?
Do I have to sell the entire mortgage note or can I just sell part of the mortgage note?
At times, the mortgage note buyer will prefer to just buy a part of your mortgage note. And there may be times when it really is a benefit to you to only sell a part of the note.
If you decide to sell only a portion of your mortgage note…. make sure you fully understand what happens to the note (particularly your interest in the note) if there is default. Look for a mortgage note buyer who will work with you in the event of default. There are mortgage buyers who will allow you to buy the note back or make payments while the default is being cured.
Does Your Company Flip The Loans After They Are Bought?
Many note buying companies will sell the loan to a 3rd party after the loan has been purchased. This is not a problem, if you have sold the entire note. If you have sold a part of your note there is a possibility that you will be working with a yet to be determined 3rd party to protect your interest.
What is Your Experience With Buying Loans Like This?
You want a mortgage note buyer who is very familiar with mortgage note buying and who will put your interests in front of his/hers. When selecting a mortgage note buyer, make sure you interview him/her. And only do business with someone you trust. Check our their testimonials.
What Note Sellers have said about dealing with us:
It’s very important to us that when you are selling a note that you have a great experience. We are very proud of our American Funding Group testimonies. In the end, we’re not happy if you’re not happy. So, check out what others have said about us.
One of our customers, A.C. Of Rochester, NY, had this to say: “American Funding Group, we want to send you a special thanks for your kindness, promptness and thoroughness in the way you handled our transaction. We were more than satisfied and will recommend you highly in the future.”
“The cash settlement you gave me exceeded my expectations. I would not hesitate one moment to recommend you.“ J.S., Ft. Worth, Texas
“The transaction was handled very well. We appreciate the way you were able to overcome the problems, particularly the lack of cooperation of the payor. Great job! “ J. & B. M., Palm City, FL.
As with any decision in real estate, it important to know all of your options and shop around. Remember to ask questions about ANYTHING you are uncertain about.
Our team can help guide you through the process of selecting a mortgage note buyer who is right for you! To get started, simply fill out this form, or give our office a call to get started! (772) 232-2383
If you own a Mortgage note and want to see what you sell it for, fill out the below form
I'd like BEST PRICE for ALL or PART of My Note
Or call us at (772) 232-2383 and we’ll guide you into making the right decision for you!