A mortgage note buyer buys mortgages from lenders for pennies on the dollar.

Arkansas, the twenty-fifth state to join the United Stated and the thirty-ninth largest state, is well-known for its natural beauty and scenic attractions. Located between these magnificent landscapes are privately owned property, homes, and commercial buildings. Some of these properties were purchased using a land contract, a home equity loan, or a deed of gift. In order to protect the privacy of the owners, no information about the sellers can be found online.

Getting Started

Before you decide whether to sell your house through an owner financing arrangement and carry a loan from a bank, consider doing some things to improve your chances of success.Be aware of the true value of your property. You don’t want to overestimate its worth.You need to decide how much of a downpayment you want from the buyer. If you’re selling a nice home that they will live in (e.g., a condo), then 10 percent might be enough. For properties where you don’t know if they’ll live there long term (e.g., an apartment) or if they’ll use it as a rental, aim for closer to twenty percent.Choose an interest payment schedule that works for you. If you’re 75, you might prefer a longer loan period than someone who is 25. You may pay slightly more per month than someone who has a shorter loan period, but you won’t owe any more overall.Determine what you want in a seller. Check his/her financial situation to determine if he/she has enough cash flow to pay for the property taxes and insurance.

Once you’ve found someone who wants to buy your house, have an attorney or a real estate agent help you get the paperwork ready for closing. If you do everything by yourself, you might end up with something that isn’t valid.

If everything has been completed and you’ve received payment from your buyers, then consider selling your Arkansas land contract to an investor like Seascape Capital who can take care of all these things for you. You won’t have to bother yourself with keeping up with property tax bills or making sure your property is insured. Instead, you can focus on enjoying the benefits of owning real estate without worrying about paying any maintenance fees.

Selling Your Note

You need to talk to at least two or three people who buy notes before finding someone who seems trustworthy and willing to pay you a fair price for your Arkansas land contracts or mortgages.

  1. After choosing an excellent notebanker and agreeing upon a price for your notes, here are the most commonly used steps:
  2. A mortgage broker will look at the borrower’s credit score to see if they qualify for a loan.
  3. They will give you an official contract with everything written down, and then they will want you to sign copies of some important documents.
  4. After that, the note buyer will request an independent valuation from a third party. This may take several days.After that, they will order an abstract from the journal publisher. This usually costs between $100-$200 and is paid for by the author.
  5. After completing the above due diligence, your loan servicer will send you documents for taking assignment of your loan. You will sign these and return them with your signed originals.

Depending on the note investors’ requirements, they may send the funds to you within one to five business day.

ELM Capital was founded in 2002 and has an A-plus BBB score. It has purchased or brokered several notes on Arkansas property, and can be reached by phone.