Achieving High Stable Returns by Investing in Real Estate Notes

RICHARD THORNTON | January 8, 2018

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Many of our clients want the benefits of investing in real estate but not the problems associated with being landlords. Few realize that they can accomplish that goal by buying or participating in residential mortgage notes. Investing in mortgages can provide stable, reliable returns without the problems associated with ownership. Residential mortgages (home loans) are usually provided by banks and other lending companies to enable people to buy homes. However, sometimes borrowers can’t get loans due to reasons outside their control. In those cases, the seller of the home can act as the bank and create a mortgage for the buyer. Many sellers hold these mortgages and enjoy the cash flow they provide. However, some home sellers/owners sell them to investors. Since these homes are usually at low rates, they are sold at a discount to increase the rate of return. Working with a mortgage broker, stable yields of approximately 8% can be achieved.

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Forest City is a NYSE-listed national real estate company principally engaged in the ownership, development, management and acquisition of commercial and residential real estate throughout the United States.

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Forest City

Forest City is a NYSE-listed national real estate company principally engaged in the ownership, development, management and acquisition of commercial and residential real estate throughout the United States.

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