During a conversation the other day, a new Note Buyer told me that he decided to start investing in buying defaulted mortgages. He had been wholesaling properties for a very long time prior to this.
When he said to me "Dean, the reason why I want to get into buying defaulted mortgages is not only for the cash flow, but I want to keep these people in their properties. This is what worried me.
I do admit that Humanity counts, don't get me wrong. But...
Make sure you are looking at the bigger picture.
When Buying Defaulted Mortgages, Don't Only Focus On One Exit Strategy
It just won't work.
Even if you want to pursue one exit strategy for the defaulted mortgages that you have just purchased, you can't. (in this case, he thought that he could generate cash flow by re-performing all the notes he bought by modifying them.
Mulitple Exit Strategies Are Need When Investing In Defaulted Mortgages
You have to be like Rafael Nadal in order to invest successfully in defaulted mortgages.
With an amazing serve, grass court and clay court experience, and a great forehand, Nadal is a well balanced tennis star.
Follow the same approach when buying defaulted mortgages. Learn how to pursue MULTIPLE Note Buying Exit Strategies at once.
Don't get stuck with just one note buying strategy.
When Buying Defaulted Mortgages, Use Foreclosure As A Tool
Sometimes it takes starting a foreclosure action to get a borrower to cooperate with you in getting a loan modified.
Why?
The foreclosure action acts like a wake up call to someone who has been missing payments on a regular basis. That in combination with your help in their loan modification may be just what they need to get going to work their way out of their situation.
Don't be like the investor I talked to. Don't fall into that trap.
If you want to be successful in your Defaulted Mortgage Buying business, 1 Exit Strategy is not enough.
If you want to do well in the note buying business, you need to be a jack of all 5 Exit Strategies. - 15224
When he said to me "Dean, the reason why I want to get into buying defaulted mortgages is not only for the cash flow, but I want to keep these people in their properties. This is what worried me.
I do admit that Humanity counts, don't get me wrong. But...
Make sure you are looking at the bigger picture.
When Buying Defaulted Mortgages, Don't Only Focus On One Exit Strategy
It just won't work.
Even if you want to pursue one exit strategy for the defaulted mortgages that you have just purchased, you can't. (in this case, he thought that he could generate cash flow by re-performing all the notes he bought by modifying them.
Mulitple Exit Strategies Are Need When Investing In Defaulted Mortgages
You have to be like Rafael Nadal in order to invest successfully in defaulted mortgages.
With an amazing serve, grass court and clay court experience, and a great forehand, Nadal is a well balanced tennis star.
Follow the same approach when buying defaulted mortgages. Learn how to pursue MULTIPLE Note Buying Exit Strategies at once.
Don't get stuck with just one note buying strategy.
When Buying Defaulted Mortgages, Use Foreclosure As A Tool
Sometimes it takes starting a foreclosure action to get a borrower to cooperate with you in getting a loan modified.
Why?
The foreclosure action acts like a wake up call to someone who has been missing payments on a regular basis. That in combination with your help in their loan modification may be just what they need to get going to work their way out of their situation.
Don't be like the investor I talked to. Don't fall into that trap.
If you want to be successful in your Defaulted Mortgage Buying business, 1 Exit Strategy is not enough.
If you want to do well in the note buying business, you need to be a jack of all 5 Exit Strategies. - 15224
About the Author:
Learn more about the Note Buying Business? Hours ofFREE Training Videos here: Buying Defaulted Mortgages Real-life, Up-to-Date Information for You. Visit NoteBuyingProfits.com or Call 718-783-7605 Or Click Here: Buying Defaulted Mortgages From Dean Engle & NoteBuyingProfits.com - This time on Buying Defaulted Mortgages
