When someone is selling you a Note, you want to make sure that you have a Contract that is a clear, concise, and to the point. It should specifically lay out how much the balance is on the note and what is being paid for the note. The expenses should be clearly spelled out so that there are no misunderstandings especially when it comes to handing over cash for the Note. Before there is any exchange of money you want to make sure that all your numbers and information on the contract are correct. It is a legal binding document and it is going to be used as a guideline for the closing later. In our office we close some in house and others at a title company. The closer will need this to prepare your settlement statement. If the contract is written correctly both the note buyer and seller know what to expect and are not surprised.
You can use this as a guideline to write your own and make it work for you. This information is not legal advice. Please seek legal counsel before using any of the information or examples of documents posted on our site. We are based in Texas and follow Texas guidelines. I hope you find this information helpful. If you are interested in selling a note we might be your buyer. Please feel to contact us for an offer.
Best of Luck,