Quote: (05-21-2014 11:39 AM)renotime Wrote:
In my opinion you should be looking at the internal rate of return, which is 16.7% for that note and 19.4% for the other one.
But it's still like investing in a junk bond. You get somewhat high yield with uncertain risk profile. At the end of the day you're still hoping that person makes their payments.
Quote:Quote:I'm curious to know how you would go through foreclosure though? If you were to take them to court how long would it get caught up in legal wrangling etc.. and what could they do to delay that.
I have the same legal recourse as the bank. When the borrower bought the home they signed a security agreement and promissory note.
Don't get me wrong, I'm not shitting on your investments btw. It's kind of interesting to learn about even if it's not the sort of thing I would go into it.