Catherine Bell breaks down the five factors that determine real estate note investing returns: purchase price, borrower interest rate, monthly payment, note term, and your cost of capital. These inputs let you project what you'll actually make.
How to project real estate note investing returns? Well, it depends on several things. It depends on the price point that you're actually buying it at. It depends on the interest rate that the borrower is paying. It depends on the monthly payment that's actually being made, the length of the note, and then, of course, the cost of your money for investing in the note. Once you have all of that, you have a better opportunity to be able to calculate out what your return is going to be on that note. So for more information, please go ahead and follow us. My name is Katherine Bell. I'm with Titan Impact Group. We leave every person, property and community better than we found them.
