Most people understand the world of rental properties, house flips, and other common real estate investments. But there is one little-known niche that could provide massive cash flow and profits without the headaches: note investing. In this episode of the BiggerPockets Podcast, we sit down with Dave Van Horn, author of Real Estate Note Investing, to talk about how anyone can get started with real estate note investing—even as a first investor. In addition to a great conversation about notes, you’ll also hear some of Dave’s powerful strategies for getting his real estate offers accepted, how he started his investments using the BRRRR strategy (with credit cards!) and much, much more.
In This Episode We Cover:What is a note?The types of notes availableWays to start investing in notesHow much cash one needs to have a noteDave’s backstory as a real estate investorDave’s shift to note investingWhat hard money isThree things you need to put together a dealGetting bank financingPerforming vs. non-performing notesShadowing and how to do itMaking multiple offersWhat happens when a performing note becomes a non-performing note?About the bookAnd SO much more!Links from the ShowBiggerPockets ForumsBiggerPockets CalculatorsVeggie Tales: Song of the CebuBiggerPockets Podcast 028: Note Investing and Raising Private Money with Dave Van HornProsperBooks Mentioned in this ShowMultiple Streams of Income by Robert AllenReal Estate Note Investing by Dave Van HornThe First Entrepreneur by Edward G. LengelAbundance by Peter H. DiamandisFire Round QuestionsIs it possible to purchase your own Non Performing Note?If I want to be an individual NOTE investor, how much money do you need to have to play?Would it be a smart strategy to buy NPN or defaulted mortgages just to foreclose on them for profit?Tweetable Topics:“It’s not only about what you’re paying, it’s about how you’re paying it.” (Tweet This!)“You don’t need any money, you just need a deal.” (Tweet This!)Connect with DaveDave’s BiggerPockets ProfileDave’s Website