Review Of 3 Big Reasons to Back Flip Real Estate

Real Estate Back Flip Investing Review

Real Estate Back Flip Investing Review

Mentor Financial Group is a company started by Peter Conti and Jerry Norton with a focus on making it easy for anyone to make money without having to own or manage any real estate. Peter & Jerry invented the real estate back flip, which is a way to help underwater property owners get back on their feet, while also keeping their property.

It’s called a real estate back flip because the property gets “flipped back” to the existing owner. This means that you don’t have to find a new buyer for the property, so no more marketing, looking for other investors to flip your deal to or trying to compete with Realtors if you are going to sell the property at retail

The best part about the real estate back flip, is that Peter Conti and Jerry Norton will provide the funds to do the deals! The way it works is you find a property owner that is “under water” with their mortgage. They owe more on the property  than it is currently worth. There are thousands of properties like this out there, many of them may be within just five or ten miles of you. What Mentor Financial Group does is buy the loan at a discount from the lender.  This is called bridge financing because they are going to bridge the loan from the first lender to an exit lender which you’ll discover more about in just a moment. Technically they are buying the note, but most people understand this better if I just say loan. Then Peter & Jerry restructure the terms of this loan by reducing the amount the property owner owes to about seventy percent of current market value.

Finally the owner exits the bridge loan by getting a new conventional loan on the property. This works for property

owners with both good credit and bad credit, although from what Peter & Jerry say, it’s easier to do if the owner has good credit. Some of the homes that you can do a real estate back flip on don’t even have to be behind in their payments. The reason for this is that if the loan amount is considerably higher than the current property value then the property is technically in default according to the terms of most mortgage documents.

Mentor Financial Group

has a method of making the lender aware of this fact so that the lender is more motivated to do something about helping to fix the situation. So a real estate back flip doesn’t always work, you never know if a lender is going to accept the offer to sell the note at a discount or not, but when you can put a real estate back flip together, it’s a cool way to make money without owning or managing any real estate.