Last Updated on June 12, 2025 by T.J. Fitzgerald
I’ve been investing in notes since 1996. Note investing is buying loans at a discount to earn income or profit. It’s practical, not a quick fix. In 2025, with Fed rates at 5–6%, it’s a strong time to start. Watch my Week 1 video for details. Here are five steps for beginners and pros.
A note is a loan, often a mortgage. Seller-financed notes—where homeowners finance buyers—are my focus. You buy a $50,000 note for $30,000, then collect payments or sell it. Results may vary. Check the math. These notes are simpler than bank loans, which are riskier. In 2025, high rates boost seller-financed deals.
First, study the market. High rates mean more homeowners finance properties, especially in small towns. In 1996, I targeted Chicago suburbs for similar trends. Check local listings to find active areas.
Second, find notes with note holder lists. Spend a few hundred dollars for thousands of leads. Send direct mail: “Interested in selling your note?” In 1996, I mailed 200 letters and found a $50,000 note. Direct mail beats online platforms, which often have poor data.
Third, network with accountants or attorneys. They know note holders. In 1998, I sent flyers to Chicago professionals, landing a $40,000 note deal. Local events connect you with funders who simplify paperwork.
Fourth, refer notes to funders. In 2003, I referred a $30,000 note and earned a fee without cash. Later, buy small notes after learning the ropes. Verify titles and payments.
Fifth, learn basics—principal, liens, schedules. In 2005, I avoided a bad Ohio note by checking liens. Use county websites or groups to learn. My mini-course helps. I earn from it.
In 1999, I found a $20,000 note in Illinois via direct mail. Referring it earned my rent. Start small, work smart. Watch my video or join my course.
IN THE “HOW TO TURN 90%..” PROGRAM, YOU WILL LEARN:
