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OPM Capital

Performing & Non-Performing Note Investing

Buy mortgages at 60–80% of face; collect interest or foreclose.

Overview

Buy 1st/2nd mortgage notes from banks/hedge funds at discount. Performing notes yield 8–15%. Non-performing bought at 30–50 cents on the dollar; workout via reinstate, modify, deed-in-lieu, or foreclose.

Best fit
Passive income seekersSDIRA investorsReal estate creative financiers
Estimated impact
8–20% yields; equivalent to hard-money returns without operations

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