Re: Note Investing Mini-Case Study
You saw the National Harbor breakfast video we posted last week.
And then you took a stroll down memory lane with me when I broke out my first real estate education purchase. That was particularly memorable for me because it led to such a great friendship that endured for years.
Today why don’t we get down to the nuts and bolts behind Note purchases?
Here is a great example:
Many years ago, when I was one of the few people in the DC area mailing letters to estates, (today there are dozens – if not hundreds – who mail estate letters into our area) I got a call from one of the people I mailed a letter to.
“Do you buy notes?” he asked.
“Sure.” I said.
His brother in law owned 3 notes and wanted to sell. The notes were in Washington State, Ohio and Florida.
We determined that the notes in Ohio and Florida were “non performing” and had been dormant for a number of years.
The note secured by this house in Washington state was performing. $22,000 principal balance and a $475.00 per month payment.
Here is a photo of the property in Washington State:
The long story short – we bought all three notes for $2500.
That’s called a Motivated Seller.
The good news – We collected 3 years of payments and then received a check for $16,000 to pay off the note.
You do the math….. great return over three years, right?
The best news is that this deal was done inside my self directed IRA.
Combining the knowledge you will learn from our speaker on Monday, with the knowledge about IRA’s you will learn in July, can make your retirement years much more pleasant.
This month you will learn how to:
- Find Notes
- Analyze Notes (much easier if you have some knowledge of property values)
and make GREAT returns.
- The good news is that this type of investing is very PASSIVE. This means that you will not be running around town back and forth from a hardware store trying to repair or renovate houses.
Lots of people these days are interested in, or already renovating houses.
VERY FEW PEOPLE UNDERSTAND NOTES.
The icing on the cake is that this is a great method to combine with knowledge about various retirement plans.
I make fun of it all the time, but this truly is the type of business you can do sitting in your PJ’s in front of a laptop anywhere in the world.
IF – you treat it like a business. There are a lot of areas you can mess up. Monday night you are going to hear about some of the pitfalls as well.
I suggest reserving your seat for Monday night – June 12. Go ahead and mark your calendar for the Self-Directed IRA meeting on July 17 while you’re at it.
Combining these two nights is a powerful combo of knowledge that will unleash skills that very few people have mastered.
If you can read between the lines – it also means there is less competition.
Join us Monday evening as we have a note expert as our guest speaker at WREIA?
FOCUS and make 2017 a great year for your business!
Let me know how I can help you,
Washington REIA Network, President
Profitable Property, Founder
P.S. Interested in a lender or construction partner for your project? We lend to and partner with people all over the DC area. Call the office and lets set up a time to talk through or walk through your project.