Understanding the non-performing note business can lead to a road of wealth.
This article series was designed to provide an understanding of the opportunity of “Become the Bank.” The next step in the non-performing note process is execution! You have the education, now it’s time to apply what you learned.
The surface has just been scratched as there are a lot of details in buying Non-Performing Notes:
- Sourcing and evaluating
- Creating your individual model of buying
- Determining model to implement once you buy
- Developing strategic plan with consumer
- Selecting a servicer
- Knowing the value you are looking for and area you want to focus on
The question you may have is: Where do I start? Whether you are a veteran real estate investor or new in real estate, take a course on non-performing notes. If you do not have a business entity, create one then create a five-year business plan outlining the above. Then start with sourcing an NPN from a local bank. The non-performing note business is a hedge against market trends, and there will always be non-performing notes. Once you build your business over the long term, you will establish a consistent income.
The non-performing note business is not for everyone just like rehabbing is also not for everyone. As I have noted, Pull the Trigger teaches 19 disciplines in real estate and how to apply each discipline when it is applicable. The well-rounded real estate investor will win every time. For example, Investor A only understands one model of investing, viewed a property that didn’t fit their model and walked away, but Investor B understands more disciplines, looked at the same property, created the deal, and made money. Each property you view as an investor has many exits. Knowledge is POWER.
The nucleus of real estate investing is non-performing notes and Become the Bank™ is the road to wealth.
The non-performing note industry is the ability to manage the investing process. It takes time, due diligence, and building relationships. It requires note sources, capital, servicers, attorneys, and a trustworthy team. The implementation of the Model of 10™ as discussed in prior articles is the post side of the note purchase, now the ROI begins.