|Commercial Note Buyers
Buyers of Commercial Owner Financed Promissory Notes
Call Us @: 877-655-5625 or 828-689-4683
It is just like selling a promissory note on a residential property. Note buyers purchase these commercial notes at a discount.
Commercial real estate note buyers have to deal with that’s different from residential real estate note buyers is the borrower on the promissory note is often a corporation or LLC. Many residential note purchasers don’t know how to evaluate a corporation or LLC’s credit worthiness and correspondingly often assign a higher discount rate to the payment stream than is necessary. On top of that, they often aren’t comfortable with the property as seller financed note properties can run the gamut, from retail to industrial to a Church so they often quote a note purchase but seem to never close the purchase transaction. For questions about commercial note selling, see our faqs page at selling a commercial note. You can also just call us at the number below.
That’s where we come in. We specialize in the purchase of commercial seller financed real estate notes. As much of our business is as commercial mortgage buyers, we understand the commercial side of this business. This not only means we nearly always close on a note sale we quoted (and at the quote amount unlike many note buyers in this business), but we close very quickly, getting you cash in days instead of weeks or more. Also, unlike residential payment buyers focusing on residential owner financed promissory notes and dabbling in commercial notes, we close and close quickly as we do our own property evaluation initially through the web, and lastly through an onsite visit. One other pretty unique specialty that we have is that we are interest only commercial note buyers so unlike just about every commercial note buyer out there that will not buy a real estate note that in interest only (not amortized), we can help you sell an interest only commercial note as well as an interest only residential note.
Lastly, many commercial promissory note holders don’t realize they can sell a portion of a note’s future payments for a nice piece of cash now. This lets the seller get some often much needed working capital for their business but it minimizes the discount they will have to take. It also allows them to treat their note a bit like a ‘piggy bank’, tapping it for cash on two or more occasions. Where else can you get a nice lump sum of cash for your business without the hassle of applying for a bank loan, every business person’s nightmare nowadays? Also, we do not purchase business notes backed by non-real estate assets.
or Click on the Link Below to Request a Quote
You will be Redirected to our Corporate Website for your Quote Request
Thinking about selling your commercial property? Commercial properties have many of the same challenges that residential properties have when they go to resale. They may be vacant, rundown and siphoning off $$$ from their owners, rather than making MONEY. Commercial properties, by definition are expected to make money for their owners, regardless of whether the owners are institutional or individual investors. If factors do not come together in an advantageous way a property could sit empty for years while it bleeds cash away from investors.
At some point investors will try to cut their losses. A strip mall that is nearly new is currently sitting empty and neglected near us. It’s for sale, but has generated little interest. The seller is a real estate professional. Efforts at getting this property to be fully rented and making money have been notably unsuccessful. We think it would make a great location for some type of home health agency, but have not presented this idea to the owner. Surprisingly even these more sophisticated investors will make the same mistake many homeowners make when marketing commercial property.
Their biggest mistake? They don’t try to make the property look as attractive as possible. Many owners of commercial properties will list them for sale and fail to consider or address street appeal. They are probably wanting to get rid of the entire headache, similarly to homeowners who want to sell their property “as is”. Of course unless the property is in a stellar location and in perfect show condition it may linger on the market, eating through lots of money for years or even decades, just as many residential houses do. Some properties even end up abandoned or foreclosed. Some of this real estate could be generating income streams with a little improved marketing or imaginative repurpousing, although commercial real estate conversions can be hit or miss. The key is demographics research to be sure there is strong demand.
Pragmatically speaking, a commercial property that is generating income becomes much more attractive to potential buyers, AND to potential renters. Part of the value of these types of properties IS how they look to both buyers and renters. Appearance matters. This is NOT news…but it is frequently ignored. It does not hurt to analyze what could make any piece of real estate more viable from both a business standpoint and from the standpoint of attracting customers and buyers. While it’s challenging to try to guess what will attract customers, all businesses that succeed HAVE to figure it out or die trying. Investors, by definition expect to make money. If they want to sell a commercial property they need to make it look good so they can fulfill this worthy goal. Lastly, if you are considering converting your commercial property to sell it, go to our article on converting a commercial property to increase it’s appeal.
So if you need to sell a Church note, retail shopping center note, motel note or other type commercial note, give us a call. We’ll get you a quote usually in 1 business day and will move very quickly to get you your lump sum of cash. So don’t delay. Call Us Today.
Make A Call Now! 877-655-5625 or 828-689-4683
© 2015 Commercial Note Buyers. All rights reserved.