Note Network

Are You Sure It’s Really A Bad Cash Flow Note?

You cannot resell every cash flow note that you encounter in the cash flow industry. The good news is that there are many more viable cash flow deals out there than most people think! In fact, in many cases, just a little creative thinking can allow you to succeed in the cash flow business. Many of the notes listed for sale on Russ Dalbey’s Note Network evidence some sort of negative characteristic. This doesn’t necessarily make them bad notes, i.e., ones for which a note finder cannot find a buyer.

Straight notes are one example of this kind of note. Even though the loan to value (LTV) may be increasing with time, a straight note that has no monthly payments might suit the private buyer who doesn’t want to deal with monthly loan servicing. In addition, a ready buyer on the Note Network could be someone that prefers to own property, and is hoping that the payer won’t be able to make the balloon payment. A delinquent note requires knowledgeable and timely action by the holder to protect their rights and position. In many cases, you can call a delinquent note due and payable, meaning the term shrinks from the original due date to the length of the foreclosure period. Some knowledgeable cash flow note buyers could be very comfortable with this situation, so put the information on the Note Network and let them make the call!

Senior liens/secondary position notes are notes in second or even third position. In some situations, the liens have been paid, but still need proper recording to clear the title to the property. In other words, the subject note could be in a higher position than it appears. As in all other situations, knowledge is power. When you know how to handle the bad cash flow note, or use its attributes to your advantage, you’ll always have the best chance at winning in the cash flow business. Use this newfound knowledge to your advantage at NoteNetwork.com.