Posted by Michael Morrongiello on March 04, 2001 at 20:27:22:
Tom:
Most not all note funders will purchase your seller financed paper without recourse (I know we do). We will look primarily to the property and the debtor for repayment NOT to the note seller. So you may have been misinformed or mislead. There are a few investors who will want you to provide RECOURSE, however you are not obligated to go with them as funders.
To your success,
Michael Morrongiello
Selling a note “with recourse?” - Posted by Tom - WA
Posted by Tom - WA on March 03, 2001 at 21:46:43:
I just read on the legal board that if I resell a note to an instutition, it’s usually “with recourse,” meaning that if the payor defaults, I’m responsible for the payments? That’s really scarey, and it turns me right off of the whole note-brokering idea. Am I over-reacting?
Re: Selling a note “with recourse?” - Posted by Jon Richards
Posted by Jon Richards on March 06, 2001 at 14:33:32:
Tom
I have found that most buyers of notes do not need recourse. It’s efficacy is greatly overstated, so I would avoid those buyers, and avoid with recourse. It is a rare request in this business.
Jon Richards,
Publisher, NoteWorthy Newsletter