“Money is my military, each dollar a soldier.” – Kevin O’Leary

This might be the one you are most familiar with. Seller creates the terms of the note, (amount financed, interest rate, and other terms of loan), and buyer promises to pay as agreed. Note is secured by the collateral of the property. Seller can hold the note and collect cash flow and/or sell it at some time in the future. Cash flows every month - no landlord headaches!

Investor buys a property through seller financing, then turns around and sells the property on another note, often at a higher rate, to a well qualified buyer with a large downpayment, and collects the monthly difference in payments. We do NOT rent the property, but sell to a SAFE ACT compliant buyer.

Notes are available on the open market (almost as easy as the "Buy it Now" button on Ebay), through note brokers as well as financial institutions. We will often sell some of our inventory to our investors.

Another source of notes is through people who have seller financed their property and want to sell their note for a lump sum.

Pehaps one of the greatest wealth building strategies available. Owner of the note sells several years of payments on the front end to an investor - often for more than the owner originally paid for the note. The investor buys cash flow. The note owner owns future payments remaining and may have zero money invested. Bonus...if the property is refinanced by the owner - both get a chunk of cash!

What??? Buy a note where the borrower hasn't made payments for years? YES! When you know what you are doing - these can see huge returns...

This will be a high activity and opportunity area for the next several years. 

We are seeing an increase in business from high equity burned out landlords. They generally have 1-5 rental properties - invested in these for cash flow - but have basically a job and headaches. Now they want out - but have a huge capital gains tax issue if they sell now - due to their equity run up. 

Seller financing thru an installment sale contract can often save them quite a bit of money. Their CPA can show them details.

We can step in and make the deal happen.