The Ultimate Note Sellers Guide
How Partials Work
Tips on Creating a Deed of Trust Note
Sell My Note
Learn more about valuing and selling my note.
Alan Noblitt is the President of Seascape Capital, LLC, and works as both a real estate note buyer and a business note broker. Alan has an MBA from Arizona State University, a B.S. from the University of Wyoming, and is licensed as a California Real Estate Note Buyer.
Previously, he worked for Hewlett Packard for 18 years in finance and marketing positions, with five of those years spent in France. He launched Seascape Capital in 2002, and incorporated the business in 2003.
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Why Choose Us
Seascape Capital is a top real estate note buyer that purchases notes across the fifty U.S. states. Also known as private mortgage buyers, promissory note buyers, or mortgage purchasers, a real estate note buyer helps individuals who are wanting to sell their notes after an owner financed transaction.
What is a Mortgage Note
A mortgage note is a type of promissory note that shows the terms of an owner-financed sale of a property. The terms include the interest rate, number of payments, payment amount, due date of first payment, what happens in case of a non-payment, etc. A mortgage note is sometimes called a real estate note, a deed of trust note, a purchase money mortgage, or simply a promissory note — they are basically the same for most purposes.
A contract for deed and land contract are similar in most respects to a deed of trust or mortgage, though they are used in a small number of states. The note is the “I.O.U.” while the deed of trust, purchase money mortgage, or contract pledges the property as collateral for the sale.
A mortgage note can be used for almost any type of property — residential, commercial, mobile homes, and even vacant land. It is different from a business note, which is for the sale of a business where little or no real estate was involved.
Should I Keep or Sell My
As a person who owns a mortgage note, you are already familiar with the benefits of having a note. There are advantages to receiving regular (and hopefully, on time) payments coming in on at regular intervals and at a good interest rate. If you have the time to manage the mortgage note and have plenty of cash in reserves, you may like having that note. However, there are also numerous risks associated with carrying a note. What happens if the buyer loses their job or goes through a divorce and stops making payments?
Is the buyer staying current on property taxes and insurance, as well as maintaining the property? Will the buyer still be able to make the payments in 5-10 years? If the buyer defaults, are you prepared to spend thousands of dollars and wait many months going through the foreclosure process? If you are considering selling your note, call a nationwide direct mortgage note buyer like Seascape Capital to understand the best options. You may decide to sell just some of the payments rather than the full note, but get informed first so that you can make the best decision for yourself.
What is a Partial?
A partial is simply selling only a certain number of payments on your mortgage note or trust deed note to a note buyer. For example, let’s say that you own a note with a balance of $100,000 and that has a term of 30 years. However, you only need $25,000 now to pay off some debts or to make other investments. In that case, the company that is buying your note may offer you $25,000 to buy, say, the next five years of payments, with you receiving all of the payments after that.
Some of the advantages to selling a note this way are that you usually make more money overall, have the flexibility to sell more payments in the future, and may have tax advantages by deferring capital gains. A top-notch mortgage note buyer like Seascape Capital can help you in just selling as much of the note as you want and in comparing the various options.