Debt Consolidation Credit Counseling In Phoenix

During a conversation the other day, a new Note Buyer told me that he decided to start investing in buying defaulted mortgages. He had been wholesaling properties for a very long time prior to this.

When he said to me "Dean, the reason why I want to get into buying defaulted mortgages is not only for the cash flow, but I want to keep these people in their properties. This is what worried me.

Please don't get me wrong, of all people I would be the first to admit that Humanity does count. But...

Don't lose sight of the forest for the tree.

When Buying Defaulted Mortgages, Don't Only Focus On One Exit Strategy

It just won't work.

A SINGLE exit strategy for the defaulted mortgages that you buy may be what you want to pursue. (in this example he was looking to hold all the notes as cash flow by modifying them and getting them to re-perform).

Mulitple Exit Strategies Are Need When Investing In Defaulted Mortgages

In order to invest successfully in defaulted mortgages, you need to be like Rafael Nadal.

With an amazing serve, grass court and clay court experience, and a great forehand, Nadal is a well balanced tennis star.

Follow the same approach when buying defaulted mortgages. Learn how to pursue MULTIPLE Note Buying Exit Strategies at once.

Don't get stuck with just one note buying strategy.

When Buying Defaulted Mortgages, Use Foreclosure As A Tool

One useful tool to get a borrower to cooperate with you in getting a loan modified can often be to start a foreclosure action.

And you might ask why?

Sometimes people need a wake up call, like a foreclosure notice to get them to take control of their situation. If they have been missing payments on a regular basis with no real threat, why take action? The notice combined with your help to modify their loan may be just what they need.

Don't fall into the same trap the investor I talked to did.

Don't think that 1 Exit Strategy to your Defaulted Mortgage Buying business is enough to make you successful.

You really need to be a jack of all 5 Exit Strategies to do well in the note buying business.