Learn to Profit from Notes with Paper Assets Capital
Our educational materials are set up to help you better understand everything you need to know about buying and selling notes.
What happens if a property I own a note on goes into foreclosure?
|
Paper Assets Capital first attempts to work out an agreement with borrowers to see if we can bring delinquent payments due to temporary setbacks the borrower might be facing current. However, we also know that this option will not always be accepted by the borrower. In the event we have to start foreclosure procedures, we attempt to get the borrower to agree to a deed-in-lieu of foreclosure. For most Investors, this is the “cleanest” method of getting out from under a non-performing note. In effect, the borrower signs some documentation and turns over the keys to the property.
With that said, in the event the borrower is unable to bring the payments current, work out a payment arrangement or provide a deed-in-lieu, we will then take the necessary action to begin full foreclosure proceedings at your direction. We work with trustees for this process and there is a fee to be paid. Keep in mind, the foreclosure price is generally the loan balance, interest and in most cases, late fees and foreclosure costs. Assuming the foreclosure leads to a sale, and the note holder is not the winning bidder, you’ll get paid off from the proceeds of the sale. In the event there is no successful bid, then you will own the property outright. Once that occurs, Paper Assets Capital will work with you to help you through the process of selling the property or, if you desire, to keep the property, help you through the leasing/rental process. |
---> Even more videos
HTML Comment Box is loading comments...