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Promissory Notes Investing-Superior Returns

Typical Investing Opportunities Pay Low Rates

The Federal Reserve has held interest rates down for several years. Most traditional invests-stocks, bonds and mutual funds– are paying 1.0% to 2.0% interest. To get higher returns non-traditional investing opportunities should be considered. For the small investor, mortgage notes and promissory notes are worthy of serious consideration; they can provide returns in the range of 6% to 10% with relative safety. They are available in various sizes and at various yields.

How to Build a Monthly Retirement Income

Mortgage and promissory notes are great tools for building a monthly retirement income gradually, month-by-month and year-by-year. Two basic investing models exist: 1. passive investing through a third-party that finds the notes, buys or originates them, and services them monthly, a remits a check monthly; 2. active investing where no third-party is involved; the buying or originating and servicing of the note is done by the investor.

Notes can be found or originated in any amount, at any interest rate, any for any duration. Generally, notes are created individually and tailored to the specific needs and circumstances of the parties involved; mortgage and promissory notes can be purchased individually or in packages; they can be purchased in retirement accounts or in personal investing accounts; they can be used as collateral security for a bank loan; they can be bought for a combination of cash and debt.

Financial Freedom

A simple definition of financial freedom is not having to work to earn an income; it is having enough passive income to cover all of one’s living expenses. We all seek financial independence. It allows you to decide if you want to work, to travel, and to live where you select. Owning promissory notes and mortgage notes are excellent investments that can provide a portion, or all, the income needed for financial independence and freedom.

Step-by-Step Example

Having one…


Source by Lawrence Tepper

The post Promissory Notes Investing-Superior Returns appeared first on Note Investing Seminars.

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