What Is A “Note?” In its simplest form its a promise to pay. In Real Estate, notes are secured by the Mortgage or Deed of Trust, which is backed by the pledge of real property as the collateral. Notes traditionally have been created in many ways. The most common, are through lending institutions or seller/owner carried financing.
Generally Notes Are Categorized In Three Types.
Different Note Classifications Based By Lien Position:
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Everything You Need To Know About Real Estate Notes!