Notes

Promissory Notes and Distressed PROPERTY Traps
Get-Rich Schemes- Con Artists

Lack of knowledge--that may be the problem

As retirement investments, promissory notes and property could be excellent investments. Or, they are able to become investment traps for the trusting, unsophisticated investor. Good sense, working experience, education, and honest, competent, professional guidance will determine if the investor gets trapped or helped by the investment. Lack of knowledge about investing in general, and concerning the specific asset, is the reason behind most investing disasters.

Let's examine two types of investment assets that are currently very popular with people and scammers. Distressed property and promissory notes will be the focus. The economic problems in the overall economy and the true estate problems in many parts communities and neighborhoods have generated a huge amount of negative and fear publicity. This publicity is capitalized upon by the schemers; they use it to reinforce their selling points when pitching to the uninformed and the unsophisticated. Below are a few details on how the pitch-men find a profit using real estate.

Distressed Real Estate Schemes:Due to collapse of the real estate bubble, real estate Investment offerings have already been on the rise-both legitimate and illegitimate. Regardless of market conditions, legitimate property investments are available and may achieve success and profitable. But, in chaotic times, fast-buck artists capitalize on the overall climate of fear, uncertainty, and headline publicity to trick the uninformed and the unsuspecting into bad investments.

Bank owned property, properties in foreclosure, homeowner's in distress, pending short-sales, and owning a home pools have all been used investing vehicles to target the untrained investor. All of these situations carry substantial risks, and each must be carefully evaluated. Oftentimes, it requires an expert to comprehend and evaluate each of these individual opportunities; to rank them objectively, in accordance with their individual risks and rewards, is not the job of a newbie investor.

The other group of investments that we will explore includes promissory note investments.

Promissory Notes:During today's times, when a low-interest rate is being paid on all traditional investments, such as for example bank savings accounts and bank certificates of deposit, investors are investigating nontraditional investments. Most of these investors are seeking safety of their principal plus a higher level of return in these uncertain economic times.

Generally, these investors are such as a fish out of water when confronted with a promissory note investment. They will have no experience with notes, their friends and family probably haven't any experience; consequentially, they are very vulnerable to being tricked by a con artist.

The con man entices them by the promise of big returns and no risk. These promissory notes give investors a false sense of security with promises or guarantees of fixed interest levels and safety of principal. However, all investments, even legitimate ones, in promissory notes carry some risk that the borrowers may not be able to meet their obligations.

As in all serious decision-making situations, an experienced, trained, objective, professional advisor can save the novice investor thousands in losses and several, many sleepless nights.

Red Flags: T here are signs of danger--red flags-- to watch for when discussing a potential promissory note investment with a salesman, representative, promoter, or selling investor. Certain phrases should put you alert. Here are some examples:

"I'm a promissory note salesman, and I'm here to assist you."

"I hear your question. more info be worried about it now. We'll get to the solution later."

"This is a hot deal. It's selling fast. Everyone want to get in on it. Hurry and decide now."

Lawrence Tepper specializes in: Promissory Note and LLC, Valuation, and Appraising

Expert Witness----Expert Consulting Services

EDUCATION AND TRAINING

Law Degree /Accounting Minor University of Denver

Colorado Real Estate Broker-- Promissory Notes Specialization

Certified Commercial Investment Member From National Assoc. Realtors

PRACTICAL EXPERIENCE

35 + years of appraisal and valuation experience for Attorneys, CPA's, Estates, and Financial Planners.
Here's my website: https://pastelink.net/bpsxtylk