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  • Actual for You - 12 Great Things About Successful Real Estate Note Holders

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    ve by the property on a regular basis or have someone drive by to make sure that their investment is still intact.

    6. They keep all pertinent information on the buyer in

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    1. They make sure that the insurance policy on the property is issued for an amount that represents at least the full value of the note still owed to them.

    2. They also make sure that the note is recorded and they are listed as mortgagee, trustee, or the first contract holder on the policy. This guarantees that they will be entitled to any proceeds from any claim ahead of the borrower.

    3. They make sure that they get a notice of cancellation if the borrower fails to keep a current policy on the property.

    4. They make sure that real estate taxes are paid on time by the borrower, and if necessary the note holder will pay the taxes themselves.

    5. They make it a habit to drive by the property on a regular basis or have someone drive by to make sure that their investment is still intact.

    6. They keep all pertinent information on the buyer in a

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    ake sure that the note is recorded and they are listed as mortgagee, trustee, or the first contract holder on the policy. This guarantees that they will be entitled to any proceeds from any claim ahead of the borrower.

    3. They make sure that they get a notice of cancellation if the borrower fails to keep a current policy on the property.

    4. They make sure that real estate taxes are paid on time by the borrower, and if necessary the note holder will pay the taxes themselves.

    5. They make it a habit to drive by the property on a regular basis or have someone drive by to make sure that their investment is still intact.

    6. They keep all pertinent information on the buyer in

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    ceeds from any claim ahead of the borrower.

    3. They make sure that they get a notice of cancellation if the borrower fails to keep a current policy on the property.

    4. They make sure that real estate taxes are paid on time by the borrower, and if necessary the note holder will pay the taxes themselves.

    5. They make it a habit to drive by the property on a regular basis or have someone drive by to make sure that their investment is still intact.

    6. They keep all pertinent information on the buyer in

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    >4. They make sure that real estate taxes are paid on time by the borrower, and if necessary the note holder will pay the taxes themselves.

    5. They make it a habit to drive by the property on a regular basis or have someone drive by to make sure that their investment is still intact.

    6. They keep all pertinent information on the buyer in

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    ve by the property on a regular basis or have someone drive by to make sure that their investment is still intact.

    6. They keep all pertinent information on the buyer in a safe place in case of fire, flood, earthquake, hurricane, tornado or any other type of catastrophe.

    7. They make sure that they have received an amortization schedule from their attorney or title company so that they can keep up with all payments that are made to them.

    8. They notify the borrower well in advance (at least 3–6 months) before a balloon payment is due. This gives the borrower more than enough time to find favorable financing; this reduces the threat of default.

    9. They don’t allow the borrower to get comfortable making late payments. They install a late payment clause in the contract and enforce it.

    10. They are serious about their money and initiate fore

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