Hope your New Year has started off on the right foot and you’ve got some potential transactions in the wings.

When a note holder accepts one of your options your next step is to get some copies of documents from the note holder to submit the transaction to a funding source. Below is a list of what copies you will ask the seller for. Some of the items may or may not apply to your particular transaction. The standard items have an * by them.

Document Checklist

*____ Copy of the RECORDED Security Instrument (Deed of Trust or Mortgage)

*____ Copy of the signed Promissory Note

*____ Copy of the Closing Statement/Proof of down payment

*____ Copy of the Title Insurance Policy from the sale (if any)

*____ Copy of the Hazard/Fire Insurance

*____ Copy of the Payment Record

*____ Social Security Number(s) of the Payor(s)

*____ Complete address of the property with name of nearest cross street

____ Copy of the Grant or Warranty Deed

____ Pictures of the property (if available)

____ Copy of Junior mortgage, if any

____ If a wrap around mortgage, Copy of the underlying mortgage(s)

____ If a junior mortgage, Copy of the Superior Mortgage(s)

____ If a mobile home, Copy of the mobile home title or proof of affixture

____ If commercial, Copy of all leases

____ If condo, Copy of condo associations CC&R’s

Once you have all of the requested copies from the note holder you will then send the entire package with a nice cover letter to the funding source for preliminary approval. I usually fax it unless it is more than 30 pages or so. Following is a sample cover letter for you to use on your letterhead:

Cover Letter to Funding Source

(Funding Source Name) February 1, 2006

Attn: Bob Jones

PO Box 6517

Westlake Village, CA 91359

RE: Seller last name/Buyer last name $50,000 1^st SFH – West Hills, CA

Dear Jeff:

Enclosed please find the following information regarding the above mentioned note:

Copy of your quote

Copy of the Note

Copy of the Trust Deed

Copy of the Settlement Statement

Copy of the Existing Title Policy

Copy of the Hazard Insurance

Copy of Payment History by Collection Company (Amerititle)

You came up with a full purchase price of $45,000.00 for the full purchase. The seller accepted $40,000.00 for the same. If this transaction should close I will receive the difference in the amount of $5,000.00 less any costs.

If you have any questions or if there is anything I can do to assist you in the rapid closing of this transaction please let me know. Thank you for your time and consideration.

Sincerely,

Jeffrey R. Armstrong

President

encl.

So there you go. After the seller accepts one of your offers you now have a list of what is needed to get started and a way to present the package to the funding source when you have compiled all of the necessary copies. Hope this helps!

Next month we’ll talk about what the funding source does when they receive your package on an accepted transaction. Have a great month!

Jeff

Armstrong Capital
800-845-3055
fax 818-865-2323
PO BOX 6517
Westlake Village, CA 91359
visit our website at www.armstrongcapital.com

For more great strategies, don't forget to check out Jeff's informative cash flow books for Scripts, Tips, Marketing ideas and more!

For a complete description of all Jeff's books just click HERE today!


Personal Cash Flow Prosperity With Tail Ends: How to Keep a Piece of the action	Every Single Profitable Note Marketing Idea In The World* (Almost)	Scripts & Tips: A Handbook for the Serious Note Broker

Purchase the "Consultant Combo" which includes "Scripts and Tips", "Every Single Profitable Note Marketing Idea In The World (almost)" and Jeff's newest release "Personal Cash Flow Prosperity"! That's all 3 cash flow books today for only $135.00!

Includes FREE Glossary of Private Mortgage Note Terms too!

If you are new or experienced in the Cash Flow Industry I encourage you to check out and subscribe to the NoteWorthy Newsletter, an indispensable newsletter for Note Brokers.

Just click here and then click on "Newsletters" at the top of the page.

***Free gifts when you subscribe

Jeff Armstrong is president of Armstrong Capital. He is a member of the Million-Dollar Club, a Master Broker, visiting instructor for the American Cash Flow Institute, and the author of three best selling books. He can be reached by calling 800-845-3055, faxing 818-865-2323, e-mail jeff@armstrongcapital.com, or visit http://www.armstrongcapital.com and click on "Note Brokers" for questions and information about his Master Broker services, Mentorship program how Armstrong Capital can help you succeed.

	Powered by YMLP.com