What is my note worth? - Posted by D.O.Thorn

Posted by Cindy Irish/Capital 500 on November 08, 2000 at 10:23:55:


If you don’t really have a need for the money at this time, then 10% on your investment isn’t so bad. The whole industry of private note buying should be a win/ win for both sides, with the investor meetng the financial needs of the seller. If you hold onto your note and should your financial needs change, then a seasoned note with the buyer having gained equity will be worth more to you in the future. At that time the “bad credit” wouldn’t be as big of an issue.

Looks to me as if the offer you received is fair based on the information you supplied. With bad credit as you state and a unseasoned note most investors are only going to invest 60% - 65% ITV (investment to value) Of course I don’t know how much the property sold for or how much your buyers actually put down or where the property is located, which can make a big difference.

Hope this begins to help answer your question. Feel free to contact us if we can help further.

Best Regards,

Cindy Irish
Capital 500 Funding

What is my note worth? - Posted by D.O.Thorn

Posted by D.O.Thorn on November 08, 2000 at 24:58:08:

I have a note that I’m holding $54,000@10% for 30 yrs.I have been contacted by a mortgage company , they offered $35,160 for 190 months.The mortgage is not seasoned and the mortgagees have bad credit.Is this a good offer? I don’t need the money ,but wouldn’t mind turning a nice profit.If I sit on the note for 6 years I’ll recieve $34,000.Thanks for any info on this.