Before purchasing, you must verify the legitimacy of the debt to avoid "buying smoke and mirrors". Buying Non Performing Notes [2026 Guide] - Distressed Pro
: Debts where the borrower has missed payments for typically 90+ days. Portfolios vs. Individual Notes : buying bad debt from banks
: Use platforms like Paperstac or PropertyRadar to find and purchase notes online. Before purchasing, you must verify the legitimacy of
: More likely to sell smaller pools or even single "one-off" commercial notes to local investors. Individual Notes : : Use platforms like Paperstac
: Focus on regional and community banks; they are more accessible than the top 10 national banks.
: Buyers pay a low percentage of the Unpaid Principal Balance (UPB). For instance, a $100,000 loan might sell for $20,000. Where to Source Debt
: These entities buy large pools from banks and may "slice" them into smaller assets for individual investors.