In this video, we discuss the ins and outs of investing in 2nd position mortgages, also known as 2nd position liens. We'll explore what 2nd position liens are and why they can be a great option for savvy investors seeking cash flow.
We'll also cover non-performing seconds and how they used to be acquired before the real estate market explosion. With values skyrocketing, second position loans without any value or equity protection are now worth a considerable amount of equity. You'll discover how motivated borrowers can restructure their loan or make a healthy down payment to turn things around.
Furthermore, we'll discuss how someone with a decent credit score can leverage their position to gain an advantage. It's important to note that before the market went crazy, it was possible to refinance and pay off a second, making it an attractive option for investors looking to increase their return on investment.
This episode covers everything you need to know about 2nd position mortgages, including why someone would want to buy a 2nd position lien over a 1st.
If you're interested in exploring alternative real estate investments, investing in 2nd position mortgages could be a lucrative option. Watch this video to learn more about this investment opportunity.
00:00 Introduction 00:14 Brett's Mark Zuckerberg shirt 01:44 Saving time and money with laundry 05:41 The Appeal of a Mystery Investment Opportunity 06:03 2nd Position Liens 06:42 Why buy a 2nd position lien over a 1st? 07:09 What to look for when buying a performing 2nd position lien 07:34 Non-performing seconds and the real estate market 08:28 Higher 2nd position lien value from real estate value rise 09:06 Hardball tactics in second position liens 09:55 Importance of credit score for 2nd position loans 10:29 Using a borrower's credit score as leverage 10:38 Making money off 2nd position loans 12:32 Pools of second position loans 12:50 Investing in 2nd Position Mortgages Final Thoughts 14:55 Wrap Up
Interested In More Note Investing Education? Check out Paperstac Academy! A mortgage note investing course designed to help you go from beginner to purchasing you first note.