Good News and Bad News
but Maybe It’s Really Good News !!!
The real estate and credit markets have undergone vast and severe changes since their hey-day from 2000-2007. Today, cash is king and investors are extremely conservative. Many real estate properties and notes/mortgages that were easily tradable two years ago are not getting any offers today. The good news is that well-constructed seller financed transactions are needed more than ever today.
Our business has increased 400% since 2008. How does one take advantage of this huge increase in business? A broker/funding source uses their time wisely, towards deals that have the possibility of closing. One way of doing this is to prescreen deals..
What is a way to prescreen a loan? One must into account the six basic variables that determine the value and/or marketability. Each variable is important, however some more than others. Here’s the list:
- Buyer (credit, the most important)
- Collateral (type, value, location)
- Loan to Value
- Terms of the note
- Seasoning
- Paperwork
In working with thousands of brokers we’ve found few have had the experience or specialized training to allow them to prescreen, negotiate, and close note sales today. This business is very lucrative, however it just must be done smartly and efficiently.
When deals are not prescreened or negotiated properly many brokers, and in turn us, end up spending time on deals that may not make much sense. With such an increase in business, we unfortunately no longer have the time to help every broker one on one with the process of prescreening and negotiations.In order to provide you as a broker with the best price and service for your funding source needs, Colonial Funding Group is instituting a temporary new broker status called a, Colonial Premier Broker.
Effective immediately, we will only provide quotes and contingent funding for Colonial Premier Brokers. Our website will be updated shortly to reflect this change.
What is a Colonial Premier Broker?
A person who has attended NoteSchool 3-day training seminar or are involved in mentoring with Eddie Speed, founder and President of Colonial Funding Group, LLC and NoteSchool.
What if I cannot or don’t desire to be a Colonial Premier Broker?
Those who are not Colonial Premier Brokers may still receive assistance closing note-brokered sales. This is how it works. You allow us to work directly with your client or contact, the holder of the note. If we are successful in closing the transaction, we will pay you a pre-negotiated referral fee.
We have found that the vast majority of brokers today are frustrated by the failure of their deals to close with any funding source. In most cases, this is simply due to a lack of knowledge of the current market. Until you have specialized training to help you source and close your own deals, we will help you do so by dealing directly with the noteseller.
If I’m interested in specialized training who do I contact?
If you would like to see your profits grow and would like more information about Colonial and NoteSchool training opportunities, please feel free to contact us – Duane Gibbs – ([email protected]) or call us at 1-888-847-9353.
There is no reason that a much higher number of note sales should not take place in the current market – let us help you make THIS your best year yet!
Sincerely,
David Phelps and Ralph Marshall
Colonial Funding Group, LLC Note Pricing Desk
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