Cash Out Purchase Program

THESE ARE NOT LOANS - WE BUY SOMETHING YOU ALREADY OWN

You might own a mortgage, trust deed, or a land sale contract on which another party is making monthly payments to you. We will buy, or find a buyer, for your mortgage, trust deed or land contract.

CASH NOW

Are you one of the many thousands of individuals, builders, and developers who are collecting on trust deeds, mortgages or contracts that you had to take back as part of the creative financing sales boom over the recent years.

We know you do not want the headache of collecting payments and would rather have a lump sum of money now!

Let's say you sold your home but had to take back a second mortgage as part of the sales price, in order to sell the property.

We can purchase from you the remaining payments for cash in one lump sum.

TYPES OF PURCHASES

Contracts for Deed

First Mortgages

First Trust Deed

Partial Purchase

Full Purchase

Wraps

Balloons

Interest Only Notes

Contracts for deed

IT IS SIMPLE, FAST AND EASY

We meet a tremendous need of the community. The loan is already made we just step in and take of all of the work for you. No more waiting and collecting small monthly payments, but receive one lump sum of cash.

HOW DOES THE PROGRAM WORK?

The Cash Out Program is commonly called Discounting Paper. We buy the mortgage today for a price less than the sum of all the payments that the mortgage holder would collect over a period of time. This is often less than the principal amount presently due on the mortgage. We are taking a risk and are paying cash now for payments that will be coming in the future.

REAL ESTATE TERMS

Here are some basic real estate terms for your Information:

What is a Mortgage? - A mortgage is a lien instrument that generally involves two parties:
MORTGAGOR - Person giving the mortgage, or BORROWER.
MORTGAGEE - Person to whom the mortgage is given, or LENDER.

The mortgage document describes the real estate which is being pledged as collateral for the mortgage note, or promissory note. The mortgage describes the rights and obligations of the two parties. There is no standard form of mortgage, even within a particular state. The language of mortgages varies from one document to another. The Mortgage, in short, is a document which gives the mortgage note holder a claim upon the property covered by the mortgage. Mortgages must be recorded (filed for public record in a place that is designated by state law where the real estate is located(, to be effective. This generally done by the County Clerk or County Recorder, in the county where the real estate property is located. When such documents are filed, they are logged into the permanent records of the County Recorder's Office and Become Public record.

What is a Trust Deed? - A trust deed is also a lien instrument that is intended to encumber real property and involves three parties:
TRUSTER - Person giving the trust deed, or BORROWER, who is the same as the MORTGAGOR in a mortgage.
TRUSTEE - Person or company who will be the go-between the two parties. This will be the escrow or title company who makes sure that each party's rights and obligations under the terms of the trust deed are carried out and protected.
BENEFICIARY - Person or company to whom the security interest is being given, LENDER, who is the same as the MORTGAGEE in a mortgage.

In summary, the truster (or borrower) gives the title to the property to the trustee to hold, pending their performance on the note for which the property is offered as collateral. If the truster pays the note, the trustee gives them back the title of the property. If the truster fails to pay the note, the trustee gives the title to the property to the beneficiary (or lender) to whom the money was owed.

What is the difference between a Trust Deed and a Mortgage? - In most cases trust deeds are replacing mortgages as the most common document to encumber real estate. In some states however, the trust deed is not allowed and they still use mortgages. Both documents create a lien on the property so that in a sense, one is as good as the other.
The major difference between the two is the ease in which either party could enforce their rights of foreclosure. Mortgages must be litigated, which means that even if the borrower (mortgagor) has not paid, and even though the document clearly states what happens in that case, the lender (mortgagee) must file a lawsuit in court claiming that the borrower has not paid and is asking the court to issue a judgment against the borrower and seize the property, which is the subject of the mortgage, and to sell it at its sheriff's sale with proceeds of the sale going to pay the lender. All of this can be a lengthy process.

The foreclosure of a trust deed is much faster, cheaper and does not require the services of a sheriff. This is why lenders prefer using them. The foreclosure of a mortgage could take as long as a year or more, and even then the borrower usually has an extended period of redemption, which means that the lender can not sell the property and the borrower has a chance to pay them off, or bring the back payments current. Usually a trust deed foreclosure can be completed in 120 days. The trustee is usually a title or escrow company and can have an actual sale of the property right at their own office, which is simple and fast. In most states, the major disadvantage of a trust deed is that the only money that the lender can recover from the borrower under the trustee's foreclosure is the value of the property. In other words, if the loan was too high and the property did not bring in enough money to pay off the loan, that's tough. In some states a judicial foreclosure is allowed on a trust deed and therefore, if the sale of the property does not bring in enough money to pay off the lender, the borrower still owes the rest. The lender can then use the judgment to after and attach other assets of the borrower.

What is a Land Sale Contract? - A land sale contract is an agreement to convey title to property, after a certain price has been paid. The price is usually paid in monthly payments and the title will not be conveyed until all of these payments are made. This simply means that the buyer (the person making the payments under the contract does not own the property). The contract simply says - once the payments are all made the property goes into the buyers name. Therefore, the sale does not actually take place until the end of the contract and all of the conditions of the payments have been met. Under the terms of the contract, title has not been conveyed to the buyer of the property, and should the buyer default, there may be not court of foreclosure action necessary at all.

TYPE OF PROPERTIES

The following is a list of properties that qualify for this program:
Single family home
Condominiums
Multiple dwellings - Duplexes, triplexes, and apartment buildings
Commercial properties - Office buildings, shopping centers, and other types of income producing properties.

HOW LONG DOES IT TAKE TO GET YOUR CASH

Generally, once you return our lender's commitment with all other required information, the transaction will normally close within two to three weeks.