Who Do I Call To Find Note Deals? Part 1

Welcome back to the flipnerd.com REI classroom where experts from across the real estate investing industry teach you quick lessons to take your business to the next level. And now let's meet today's expert host.

Hey everybody, My name is Scott Carson and I'm the Note guy with weclosenotes.com and I am today's host of the REI Classroom and today's subject. Since I'm known as the note guy, today's subject is going to be about where do you find note deals?

If you're an active real estate investor already doing deals and looking to double or triple your business, you should consider joining the Investor Fuel Real Estate Investor Mastermind. We're a small group of investors that share our best practices, tips and tricks with one another in effort to all win. We limit our membership to only one to two members per market so everyone shares their knowledge, tips and tricks openly and honestly. Our members include some buying one to two houses a month, up to some of the most respected investors and leaders in the real estate investing industry, some of which have personally done over a thousand deals. If you'd like to be considered for our invitation only, world Class Mastermind, please visit investorfuel.com to request your personal invitation. Our next meeting is coming up quickly. Go to investorfuel.com now.

You can learn more. Where do you go? What department do you call at the bank to find note yields? And many people, many investors, especially note investors, are used to, let's just say the low hanging fruit, the hedge funds that offer up assets that you can cherry pick like the FCI lender services, the watermark exchanges. Notedepot.com, some people are familiar with the old granite loan solutions that was around for a while and a lot of investors are wondering where do I go to find really good deals that's not picked over that not every note investors out there been looking at for a while and the best place for you to go for that is to go direct to the banks, go direct to the source. And there are specific departments in each bank. They're kind of similar name but I'm going to give you those department names of what they are and who you need to talk to, who's a decision maker in the bank, who first and foremost can either A sell you a deal, sell you a note deal or B put you on their investors list that they send out their list of distressed assets or distressed notes that they're looking to move either monthly, quarterly or annually. Now these special departments, these asset managers go by a Couple different things. One is always the special assets department. Now you're never going to call and talk to customer service to have them transfer you to special assets department. Not really. They're going to tell you, oh no, we don't sell notes and not forward you on what you're going to call and who you're going to call. You're going to call not Ghostbusters or Notebusters. You're going to literally call the corporate office of the bank and ask to speak to the special assets department, the secondary marketing department, or the chief credit risk or chief credit officer desk. Now, it's very important you be very specific on what you say. Now you don't want to call and say I'm buy notes and REOs because what's going to happen almost 100% of the time is the message board, the secretary, the administrative assistant who's answering this at the phones at the corporate office is going to hear REO and they're going to forward you to the REO department. That's not where you want to go. You want to be specific. Say I need to speak to somebody in charge of your secondary marketing, your special assets or your chief credit risk or chief credit officer. Now sometimes you're going to have to dumb it down depending on how intelligent the person is you're talking to. And so you may want to say, I need a speaking person in charge of your distressed notes, your distressed mortgages. Sometimes you can even say, I need to speak to somebody in charge of your commercial loan department. Because very often the commercial loan officers or the vice president over commercial loans often knows who handles the loan sales for the banks, for the lending institutions. Now what's great about this is these guys, these gals are often, they've got some really good brains. They are literally looking on a daily week, daily, weekly, monthly basis at the bank's portfolio of what's in default and deciding what they need to move and what they need to sell off. Now not every bank is going to sell every month, not every bank is going to sell every quarter. I mean, there's literally 27,000 plus lending institutions out there for you to reach out to. Every one of them would take you several years to do if you're just calling one at a time. But there are some great things that you can use, tools you can use. There's a website called LaneGuide.com like 150 bucks a year to use that will help you track down special asset managers along with just using good old technology of going to LinkedIn and typing in special asset managers, secondary marketing managers or chief credit risk. Oftentimes, if you're looking for a specific note, let's say at bank of the west, type it in bank of the West Special Assets. We'll often give you two or three people there that works at that bank who can help with the loan sales. Now one big caveat of this guys and gals is to be aggressive about this. Realize that these people are extremely busy and won't often return phone calls, but they often will return emails. So when you're calling or following up with an email, you gotta expect to do it multiple times. Unfortunately, what happens, many note investors will send one email out once they get an email and then never follow up. So in hindsight, they probably shouldn't have made one single phone call anyway because they would have wasted their time. But if you're serious about finding really great deals from banks where it's clean paper, usually pretty clean properties and stuff at bargains that the banks really need to move off their books, that's who you want to talk to. Special assets department, Secondary marketing manager or the chief credit risk officer. Those three departments or that one department, whatever it's called for, will make you a ton of money because nobody's doing that. Very, very few, I'd say less than 1% of all real estate investors out there understand that and are reaching out to these asset managers on a daily or monthly basis. Heck, once you get somebody's email, it's real easy to drip market to them with a monthly email and communication. Many times we get emails or phone calls from asset managers who've been getting our emails once a month for six, 12, 18 months. And they finally said, oh, we've now got, we're now in a position to sell or we now have something to sell where we've had something to sell in your email. Your branding, your name came to mind. So definitely, guys, this is something that you do long term play. It's not a quick flip deal. It's gonna want to be something that you build relationships with and do it over and over and over again. And trust me, if you do it for the long term, you'll make ton of money doing it. So that's my lesson for the day guys. We'll see you guys in the next one and have a great day. Happy investing and we'll see you guys at the top.

If you're an active real estate investor already doing deals and looking to double or triple your business, you should consider joining the investor Fuel Real Estate Investor Mastermind We're a small group of investors that share our best practices, tips and tricks with one another in an effort to all win. Real estate investing can be a lonely business for successful real estate investors, but it doesn't have to be Investor fuel members meet four times a year, but we talk to each other 365 days a year and we focus on improving the profitability of our businesses, improving the quality of our lives. That's why we do this right and making an impact on those around us so we can truly leave a legacy. We limit our membership to only one to two members per market, so everyone shares their knowledge, tips and tricks openly and honestly. Our members include some buying one to two houses a month, up to some of the most respected investors and leaders in the real estate investing industry, some of which have personally done over a thousand deals. If you'd like to be considered for our invitation only, World Class Mastermind, please visit investorfuel.com to request your personal invitation. Our next meeting is coming up quickly. Go to investorfuel.com now to learn more. Please note the views and opinions expressed by the individuals in this program do not necessarily reflect those of flipnerd.com or any of its partners, advertisers or affiliates. Please consult professionals before making any investment or tax decisions as real estate investing can be risky. Are you a member yet of flipnerd.com, the hottest real estate investing social community online? If not, you can join for free in less than 30 seconds and get access to hundreds of off market deals vendors in your market to help you in your business. And you can start networking with thousands of other investors just like you get your free account now@flipnerd.com Please check out the Flipnerd family of real estate investing shows where you can access hundreds of expert interviews, quick tips and lessons from leaders across the real estate investing industry. They're available@flipnerd.com shows or simply search for FlipNerd in the iTunes store.