Why Invest in Mortgage Notes?

2014-04-14_133257Investing in mortgage notes (sometimes referred to simply as “notes” or “paper”) is safer, more predictable, and yields much higher returns on average than any of the previously mentioned investment vehicles. We purchase distressed debt and “become the bank” with total control over our investment. It is secured by a 1st lien on the property, affording us numerous ways to exit safely and profitably, with returns on our capital investment typically in the double-digit range.