Selling Lonnie notes? - Posted by Ryan Beckland

Posted by Ryan Beckland on May 01, 2007 at 07:52:10:

Thanks!

Selling Lonnie notes? - Posted by Ryan Beckland

Posted by Ryan Beckland on April 30, 2007 at 13:16:40:

On another web site I read a post by a guy who was doing Lonnie-type deals in AZ, but he claimed that he could sell his notes to a note-buyer at a 10% discount. That sounded suspect to me considering the borrowers, collateral, etc. that is being bought.

On the other hand, I know a used car dealer that basically does Lonnie deals, only with used cars instead of mobile homes. My friend told me that he can sell his notes, but at a 20% discount.

I understand that the ideal is to hold the notes to create a passive income. That is my goal. However, my funds are limited. So I thought if i could buy a MH for $4k, resell it at $12k on a note, then sell the note less 20%, it may be a decent way to build capital faster.

Any thoughts/experiences?

Re: Selling Lonnie notes? - Posted by Marty (MO)

Posted by Marty (MO) on April 30, 2007 at 23:43:12:

dig in the archives!

we’ve bought and sold notes. I think selling partials is a brilliant way to
push your yields through the roof.

THE guy to read about tweaking notes is Jimmy Napier. I believe you
can buy his ‘Invest in Debt’ book for $15 on his site. After you read his
book, come back and read your post. You’ll be glad you educated
yourself!

OK

Marty