How to Create Marketable Real Estate Notes

Credit scoring is often referred to as a FICO or Empirica credit score. It is generated by analyzing the data in the major credit repositories for an individual and affixing a score that illustrates his pattern of credit use.The higher the score, the lower the risk associated with that prospective borrower; the lower the score, the greater degree of risk.Although far from perfect, more and more funders are relying on these credit scores to ferret out potentially problematic borrowers.As of this writing, when dealing with newly created notes or real estate mortgages, try to look for prospective buyers who have credit scores in excess of 600.Sure you can sell one of your properties to a lower credit score buyer; however you will have to sacrifice a lower tolerance level for any funding for that particular note, or you will have to age or season the note obligation for a period of time to offset the lower credit scores and perceptions of risk.