PTE Group Inc. specializes in helping investors navigate the complexities of note investing. There are four primary types of notes: performing first trust deeds and mortgages, performing junior liens, non-performing firsts, and non-performing seconds, thirds and sometimes fourths. Each type comes with unique risks and rewards, offering diverse opportunities to meet your investment goals.
Performing firsts, also known as senior liens, are loans where the borrower is consistently meeting payment obligations. These notes are secured by the property and hold the first claim in the event of foreclosure, making them lower risk with predictable returns. They are an excellent option for conservative investors seeking steady income streams.
Performing junior liens are similar to senior liens but hold a secondary position in the lien hierarchy. These notes carry slightly higher risk due to their subordinate claim, but they often offer more attractive interest rates, appealing to investors looking to balance risk and return.
Non-performing firsts represent loans where the borrower has defaulted on payments. These notes can be purchased at significant discounts and offer the opportunity for high returns through re-performance strategies or foreclosure. While riskier than performing notes, first-lien status ensures priority in the recovery process.
Non-performing junior liens are considered the riskiest type of note investment but can yield substantial rewards. They are secured by a secondary lien on the property and are often deeply discounted. Success with these notes depends on diligent due diligence and effective re-performance or liquidation strategies.
Investing in notes offers a diverse range of opportunities to meet your financial objectives. Whether you prefer the stability of performing notes or the potential for high returns from non-performing notes, PTE Group Inc. is here to guide you through the process with expertise and personalized strategies.