a payment someone owes you every month
You can replace a paycheck with a payment someone owes you every month.
This one's for anyone who wants income in retirement that doesn't depend on the stock market.
That's what a private mortgage note is: a loan you hold, with a house as collateral.
A borrower sends you the monthly payment, the same way you once sent yours to a bank.
The rate is set in writing on day one.
The Entrust Group, a self-directed IRA administrator, reports that mortgage notes have generally paid 8 to 12% annual returns.
When income comes from a portfolio, it often means selling shares at whatever the market price is that day.
A note payment is owed to you by contract, in the same amount, every month.
I’m a real estate investor, and I’ve held notes myself, so I’ve read this paperwork as the person whose money it protects.
The two lines that matter most in that paperwork: whether your lien sits in first position, and what the note says happens when a payment is late.
This week I published the full walkthrough: How Private Mortgage Notes Work
Here’s what’s in it:
• The two documents that make a private money loan secured by real estate in first position
• We use an example of an $80,000 private money note, and exactly who gets what when the housing market drops
• What happens if the payments stop, from the late fee to the window to catch up, to what a foreclosure costs and how long it takes
If you watch one video of mine this year, make it this one.
As promised, income over wealth in under a minute.
- Dan
This one's for anyone who wants income in retirement that doesn't depend on the stock market.
That's what a private mortgage note is: a loan you hold, with a house as collateral.
A borrower sends you the monthly payment, the same way you once sent yours to a bank.
The rate is set in writing on day one.
The Entrust Group, a self-directed IRA administrator, reports that mortgage notes have generally paid 8 to 12% annual returns.
When income comes from a portfolio, it often means selling shares at whatever the market price is that day.
A note payment is owed to you by contract, in the same amount, every month.
I’m a real estate investor, and I’ve held notes myself, so I’ve read this paperwork as the person whose money it protects.
The two lines that matter most in that paperwork: whether your lien sits in first position, and what the note says happens when a payment is late.
This week I published the full walkthrough: How Private Mortgage Notes Work
Here’s what’s in it:
• The two documents that make a private money loan secured by real estate in first position
• We use an example of an $80,000 private money note, and exactly who gets what when the housing market drops
• What happens if the payments stop, from the late fee to the window to catch up, to what a foreclosure costs and how long it takes
If you watch one video of mine this year, make it this one.
As promised, income over wealth in under a minute.
- Dan
