Posted by Rick Roberts - KC on February 12, 2001 at 07:24:49:
Your question is a good one that has been covered well on this board. For example, look down a bit for exchange entitled “note creation question” and/or search the archives. In my judgement, the amount of “proveable” out of pocket cash that the buyer has into a deal is often the primary consideration, as well as the timeliness and documentation quality of the payments.
Additionally, you will need to make some assumptions regarding property value and interest rate movements, as both of these could importantly impact the value of your note(s).
I hope that this general discussion helps.