Partial Mortgage Buyer Tip
Many private mortgage note sellers are unaware of the possibility of selling part of a mortgage note and because of the aggressive terms (in the home buyer’s favor) offered by the property seller, selling a part of a mortgage note is the best deal nearly always. I had a mortgage note seller recently who refused to entertain anything except a full note purchase but because the private mortgage he issued to his home buyer had ZERO down without a lot of seasoning and a 30 year term, I was unwilling to buy his mortgage. 30 days later, he called me back to see if I would still buy a part of his mortgage. Turns out, the only full offer he could find was only slightly more than the offer that I made which will leave him at the end of the 60 months we purchased of over $50,000. Also, he can sell the balance at that time.
So the bottom line is, think long and hard before rejecting a good partial purchase from a professional mortgage note buyer.