We have had a lot of people ask us why we built NoteMarketPlace. There are many answers to this question, but in it’s simplest form, we feel that investing in notes is one of the best investments available today. The challenge is that this investment vehicle does not seem to get near the press or the traction of other vehicles. So, our goal is to make it easy for sellers and buyers to connect. Liquidity is important in a market place and NoteMarketPlace helps to provide this liquidity. Currently, sellers of notes tend to be hesitant to sell because the lack of liquidity forces them to take significant discounts. Conversely, buyers can’t seem to find much inventory for sale. Sure, you can invest in bonds and get liquidity..but the returns are low, and in most cases it’s hard to know the actual quality of the bond except to depend on rating agencies (and we all know where that got us).
The beauty of note investing is that you have control over the investment. If the borrower does not pay, there is recourse and provided you have a good understating of the collateral that secures the note, you can limit your risk. Granted, with this increased control comes responsibility and a requirement to understand the mechanics of the investment. In note investing you are not necessarily crammed into an investment with hundreds or thousands of other investors. If issues arise, you can work them out directly with the borrower. Most importantly, the returns can be very good. Everyone knows that today it’s a bit harder to get bank financing than it was some years back. This is providing more and more options to the private investor. We are excited about NoteMarketPlace and what this platform can deliver. Our goal is to make it as easy and user-friendly as possible. You can see how easy it is to add a note for sale here. NoteMarketPlace is designed to sellers, investors. Say for example, you sold your house and carried a note back, you can post it for free on NoteMarketPlace. We look forward to your success with the platform and don’t hesitate to let us know what you think and what features you’d like to see!