ALCHEMY OF BUYING MORTGAGE NOTES

BY PAUL CMIL

Converting Debt Income

THE BANK SOLD YOUR MORTGAGE?

WHY DID THEY DO THAT?

DID JA Know ----

Mortgage Graph

$200,000

10%

30 years

IS A DOLLAR TODAY WORTH MORE THAN A DOLLAR TOMORROW?

TIME VALUE OF MONEY

In 4 yrs You pay $86,400

Sell part of the note for its value =

$68, 353.13

What is the variable in the equation?

Lucky 7 Questions

What am I offering?What problem do Notes solve?Why are Notes worth trying?Who am I?Who are my competitors?What are the objections?How to take action?

1. What am I offering?

I do to notes

what does to Real Estate

Donald Trump

1. What am I offering?

Access to Contacts/Consolidators

Note Analysis

No cost Mentoring (meeting 2nd Tuesday of the Month @ Wegmans)

Warranty

VOLUME VELOCITY

1. What I am offering?– The Product

Non-Performing Notes Homeowner NOT

paying Mortgage exceeds

value of the house 1st Lien or 2nd Lien

notes 1st Lien has control 2nd Lien lower cost

Performing Notes Homeowner paying

(RE) Longevity? Homeowner’s Credit 1st Lien – PITI 2nd Lien – Payment Owner financed notes

2. What problem do Notes solve?

Need for steady income Small business owners IRA accounts Retirement income

Notes work like an annuity

3622 Mozelle StreetMemphis, TN

FMV = $32,000

PUR = $17,400

UPB = $84,100

PIT = $934.00

Employed at

Family Dollar

C Area

Old Mortgage Modified

M PMT = $934TAXES = $150INSUR = $100

NET = $684; N=360

Invest = $84,000

Nasty Note becomes

M PMT = $575TAXES = $100INSUR = $ 75

NET = $400; N=360Invest = $17,400Nego = $ 1,000Taxes = $ 1,200 Pretty Paper

Making Mortgages Pay

Making Mortgage Pay

Net Monthly Payment = $400.00 Term = 360 Month Interest = 15% Net Present Value = $27,680.15

Actual Return = 26%

3. Why are Notes worth Trying

3. Why are Notes worth trying

S ecuredU nderstandableP erformance w/o your involvmentE xtraordinary returnsR epeatableC

3. Why notes are worth trying

S ecuredU nderstandableP erformance w/o your involvmentE xtraordinary returnsR epeatable

Add another P for Persistence

Notes will pay for your SUPPER

•WEST POINT GRADUATE•MBA 2 N D TIER BALDWIN WALLACE•SPENT TIME IN THE ARMY AND CORPORATE

FLIPSWHOLESALINGREMODELINGSHORT SALESNOTES

4. Who Am I?

BOND FUNDSGOVERNMENT TREASURY NOTES

BANK CD

NOT INVESTMENT ADVISORSNOT EQUITY INVESTORS

NOT INSURANCE/ANNUITY PRODUCTSNOT REAL ESTATE INVESTORS

5. Who are my competitors

VOICE ‘EM

6. Objections

6. Objections

ProsSecured by a Real

AssetGood Return Easily AdministeredMonthly PayoutTransferable

Cons

6. Objections

ProsSecured by a Real

AssetGood Return Easily AdministeredMonthly PayoutTransferable

ConsBecause you haven’t

done it before!A good plan

implemented today is better than a perfect plan implemented tomorrow --- George Patton

TAKE THE COOKIES

“GOD” IS WATCHING THE BANKERS AND THE MORTGAGE ORIGINATORS

7. How to Take Action

7. How to Take Action

Write a CheckBuy a NoteBuy a partial noteAttend our Note sessions (2nd Tuesday at 7:00 PM

Wegmans/Tilghman)

All Action does not bring happiness but Happiness only comes from taking

Action -- Benjamin

Disraeli