What is a note? And how is it different than a mortgage?
A note is the document used to promise the repayment the loan and a mortgage is a lien against the property to secure the loan.
What does Stoic Real Estate Capital do?
We buy distressed homes in San Antonio, TX. Then rehab and sell the house carrying the financing. We create a performing asset that we then sell to our investors.
How do I get the money to buy a note?
Many note buyers get money through equity lines of credit through properties, cash savings, retirement accounts/self directed IRA’s, ETC.
What do I do if the note stops performing?
Texas is a non judicial state and has the fastest foreclosure process in the nation, allowing the investor to reclaim the house and resell fast. SREC will help you through the process.
Does SREC foreclose against the Homeowner?
Unfortunately there are circumstances where we initiate foreclosure on properties in our portfolio. However, we make every attempt to help the homeowner keep their home. Foreclosure is generally a result of the homeowner avoiding discussions with us or where they have already vacated the property.
When does SREC expect funding after a purchase request?
Funding is expected within 48 hours or one week for retirement accounts.
How can I learn more about notes?
SCRE offers workshops on performing notes. In addition, feel free to call us at any time if you have questions.
Can I sell a note?
Yes, you can borrow against them as well (that’s a collateral assignment and note and mortgage).
How long after I purchase the note will I receive the assignment/collateral?
You will get the collateral in about 7 days.
How long does it take to set up a note with a servicer?
The application goes to the servicer immediately at funding and takes approximately four days.
Why do I have to sign a NDA (non-disclosure agreement)?
The NDA is necessary because you’re not allowed to contact the borrower before the purchase of the mortgage, and SREC will be releasing confidential credit information before the purchase of the note; thus, said information must be kept confidential.