Real estate has always been a great investment but over the past few years there has been a bad stigma attached to this type of investment. Unfortunately, most of this stigma was placed on real estate due to lending processes, particularly sub-prime loans and not the individuals themselves.
To fill the gap in this area are seller-held notes. These notes are gaining traction as a place to make an investment due to the traditional lenders contracting ability to make loans to individuals. This lack of product availability has fueled the seller-held note market.
If you put aside obvious bad risk individuals, there are many people who can afford larger loans than the bank qualifies them for each day. Individuals such as the successful self-employed or members of secure professions, doctors for example, who have a great income but a high debt to income ration. For these individuals, private notes can fill the gap in their financing and your investing. Private notes allow these professionals the opportunity to buy real estate without the backing investor having to take a chance on genuine credit risks. The tougher the lender qualifications, the more these seller-held note opportunities will arise and become an investment opportunity to move you closer to your retirement.
If you would like more information on real estate notes and how they can fuel your retirement, look here.