FAQ

1.What is a real estate “note”?

The term “note” is used to describe a legal document that obligates the individual or company that purchases a property to pay the individual or company who sold it. This legal document is called a Promissory Note. A real estate note is a written promise to pay.

2.What is a deed?

A deed is the legal document that establishes who is the legal owner of a piece of real estate. The individual or the company named in the deed is the legal owner of the property described in that deed.

3.How is a real estate note created?

A real estate note is created when a seller agrees to accept a balance to be paid in installments. This is called ‘seller financing’ or “owner financing.” Legal documents are created to secure the note. The legal documents may take the form of 1] Promissory Note & Deed of Trust 2] Promissory Note & Mortgage 3] Real Estate Contract.

4.How is a note secured?

The deed secures the note. If the buyer defaults on the note, the person or company named in the deed has the legal right to process the property.

5.Can I sell my real estate note at anytime, or am I obligated to hold it until it is paid-off?

Yes. You can sell your real estate note whenever you want. You are not obligated to hold the note until it is paid-off. Payments that a property seller receives from the note are considered to be an asset and can be sold for a lump sum of cash.

6.Can I transfer my real estate not to someone else?

Yes. Your real estate deed is transferable.

7.Can I hold on to the note and sell the deed?

No. Your note is a contract between you and the buyer, by which you promise to transfer the deed to his name when it is paid off. You cannot sell a property and then sell it again to another person. If you were to do this, you would be held liable, and civil and possibly criminal charges would be brought against you.

8.What benefit will I get from selling the note now?

Cash in your hand now is worth more than money promised to be paid in the future. You never know what can happen later. You may want to have a lump sum of cash now in order to invest elsewhere, take care of a difficult financial problem, pay for a dream vacation, buy a new car, or a boat, or whatever else you wish. Selling your note will make this possible. In addition, when you sell your note you will not have to deal with the collection of scheduled payments, and you will not have to make sure that property taxes and insurance are kept current.

9.What is the best way to sell my note?

CALIFORNIA CASH FLOW NOTE EXCHANGE [CACFNE] offers excellent services to help you sell your note. We have direct access to investors who will make competitive offers. To ensure fast and secure sale of your note, list it through us. The sooner you sell your note, the more cash you will get for it.

10.If I decide to sell my note, will my credit score be pulled?

No.

11.Will I get face value on my note?

You will get offers that take into consideration the value of the property, its location, the prevailing market conditions, the remaining balance, and other factors pertaining to your note. They will be based on what investors are willing to pay for similar notes currently available in the market.

12.How much will it cost me to sell my note?

Nothing! There is no charge to the note holder.

13.How long will it take for me to get a lump sum of cash for my note?

Normally, the turnaround will be between 2 to 3 weeks after an investor has agreed to buy your note.

14.What should I do to get started on the sale of my note?

To get started, click on the button below. It will take you to our terms and conditions page. Read and accept them. Once done, you will automatically be taken to the note listing form.