Buying Discounted Notes < 1000+ Extended >
π‘ Unlike being a landlord, there are no "tenants, toilets, or termites" to manage.π° Higher Yields: Buying at a discount creates an automatic gain in equity and a higher ROI than traditional bonds.π‘οΈ Asset Security: Your investment is backed by a physical asset that can be liquidated if necessary. Risks to Watch For
First position notes are paid first in a foreclosure, while "second" or junior notes are riskier but often cheaper. Key Benefits buying discounted notes
The loan is secured by real estate, providing a safety net if the borrower stops paying. Types of Notes π‘ Unlike being a landlord, there are no
You collect interest on the full $100,000 balance, significantly increasing your effective yield. π‘ Unlike being a landlord