Property investment experts at California, BGK Investments explain hot it is determined whether a particular mortgage note is sale-able or not.
Down payment is the primary factor to decide whether a note is any good. The down payment (or cash from the property buyer to property seller at the time of sale) will determine if the loan can even be sold at all. The more money a note seller will collect as a down payment, the more money the note will sell for when it comes to liquidating the property. To get great offers from investors, there should be at between 20 and 30%, with 10% being the least down payment for any offers at all. Ask California’s top property investment experts, BGK Investments for the best deals on mortgage notes.
CREDIT OF BORROWER/PROPERTY BUYER
The higher the credit of the property borrower, the more money the mortgage note will sell for. If their credit is 600 or higher, the note has a chance of selling.
RECOURSE vs. NON-RECOURSE
If you are selling your property (commercial or residential) to a corporate entity, family trust, non-for-profit, etc., a mortgage note with no recourse (aka – no personal guarantee/no guarantor) can mean a loss of thousands of dollars. The guarantor should also have a good credit score, for it to make any difference. Investment properties advisor, BGK Investments, provide you the best possible service on every note transaction as if it were their own.