Frequently Asked Questions

 

1.        What is a property note?

A property note is simply a contract, secured by real estate, which states the terms in which the contract is to be paid. 

 

2.        What factors determine the price you can offer for my note?

Several factors come into play: the interest rate on the note, the down payment at the time of sale, the loan-to-value (LTV), the property type, property condition, the borrower’s credit and pay history all impact the value of your note.

 

3.        Will the sale of the note affect the borrower in any way?

No, the terms of the note are not affected when you sell the note.  The only thing that changes is where (and to whom) the buyers send their payments.

 

4.        How quickly can you cash the note?

The process typically takes two to four weeks, dependent on a few factors:

- Getting copies of all needed documents.

- Time it takes to obtain a property value from a contracted professional (appraiser or real estate agent).

- Time it takes to obtain an updated title report, if needed.

- Time it takes to set up escrow account.

 

5.        Is there any costs associated with the note such as closing costs?

No, there are no costs to you as the note holder.

 

6.        How do I get my money?

We will place a cashiers check in a trust account with the closing agent/ title company.  When all documents are received, the title company will express mail the cashiers check to you or wire the funds directly to your account.

 

7.        Can this transaction be done through mail?

Yes.  The sale can be completed confidentially by mail, express courier, or in person.

 

9.        Can I sell just a portion of my note?

Yes.  Example:  If you have a 20 year loan (240 total monthly payments), you can choose to sell only some of the payments.  If you sell 24 payments (2 years).  After 2 years, the remaining payments would be paid directly to you.

 

For additional questions, send us an e-mail at questions@paperscashed.com