Seasoning of notes with no down payment - Posted by Paul_NY

Real Estate Investing
1

Posted by Michael Morrongiello on June 11, 2000 at 15:09:17:

Paul:
If the payor credit profile, credit scores, employment, and stability are All strong, there may not need to be any seasoning of the note. However if there are some weaknesess in those areas, then collecting payments for 3-6 months might help.

TIP: I would recommend that you financed the “down payment” in the form a 2nd lien mortgage and note that would be seperate from the primary debt they must repay. This allows you greater flexibilty to deal with them and also the sale of the primary note later on.

To your success,

Michael Morrongiello

2

Seasoning of notes with no down payment - Posted by Paul_NY

Posted by Paul_NY on June 10, 2000 at 20:26:50:

A question for notebuyers:

I have a situation where the buyers do not have a down payment and they would like to finance the down payment by adding an extra sum of money to the monthly payment until it is paid.

If I sell my property with no down payment, as described above, how much seasoning of the mortgage would you suggest, provided that the Loan To Value is under 80% of the appraised value.

Thanks in advance.

Paul_NY