2/27/09

"What is the value of my real estate note?"

Typical quotes from various note sellers...

"I have a 12% interest rate note. Surely, due to the high interest rate, this note will be worth top dollar."

"My real estate note is secured by an owner occupied single family house. This must mean I will get the highest price."

"My note is secured by property I sold in Detroit. Does this kill my ability to sell my note?"

"I sold the property 13 years ago. With this incredible seasoning of the note, shouldn't I get the most money for my note?"

"My note is scheduled to pay off in 42 years. This must make my note extra valuable."

"The credit report on the payor of my note is very good. The balance on this note is about $40,000. Does this mean you will pay more than $40,000 for my note?"


The quotes go on and on...

The bottom line is note holders simply want to know what their particular note is worth if they were to sell it today.

Most note holders try to focus on just 1 aspect of their note and assume that the value of their note is determined by this single "important" factor.

This is not the case.

All notes are NOT valued based on a single factor.

The value of your seller financed note is determined by 13 factors.

13 inter related factors that when looked at as a whole, determine the value of your note should you want to sell it for cash.

Your note value is NOT determined by just 1 or 2 of the ingredients that your note is made from.

Want to know the value of your note? Call me 206-838-8133 Tom. We can chat about the 13 ingredients that make up your note - only takes about 3 minutes.

PS - If the property you sold is in Detroit, that is a deal killer for me...

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