Posted by John Behle on June 29, 1999 at 16:57:18:
When you sell off a partial, you have to structure the early payoff terms into it. You would be best to structure it so that the partial buyer receives their cash back and the “windfall” stays with you.
Whenever you do partials it is best to avoid the “contractual method” when possible and use the “compensating note” method. It is simpler, easier, more profitable and easier to negotiate.