Discover the power of passive real estate investing with National Note Group. As one of the premiere NJ based note buying firms, NNG specializes in buying non-performing or re-performing mortgage notes backed by residential real estate. NNG raises private capital from accredited investors who are looking to participate in the real estate industry’s recovery. NNG’s fund manager uses these funds to purchase distressed assets in the form of first and second lien mortgage notes. NNG utilizes its experience and valued relationships with banks, hedge funds, private mortgage companies, and loan servicers to purchase these pools of secondary mortgage notes at a deep discount in order to free up some of their reserves. Following the acquisition, NNG’s proprietary work out process to turn non-performing loans to re-performing status is engineered by the skilled asset management team Note Resolutions, LLC. Utilizing proven methods, the asset managers provide creative and successful solutions to the homeowners of the underlying mortgages to enable the restructuring of their notes.
NNG works with a host of private investors as capital partners. Accredited investors purchase shares in our fund that represent a proportionate undivided interest in our portfolio of mortgage notes and get compensated with a passive rate of return quarterly. The NNG fund also offers their investors the option to redeem their shares early in order to acquire available notes from within the fund. NNG’s fund is registered as a private placement under Sec 506 Reg D, and is incorporated in Delaware. Based on the Federal Securities Act investors can utilize funds from their cash accounts, as well as retirement accounts, IRA’s, HSA’s and Coverdell ESA’s.
This strategy requires little or no work for the investor and generates a recurring interest only payment stream with a balloon payment at the end of the 3 year term.
Fund Investment Attributes:
- Totally Passive Investment Vehicle
- Provides diversification across the entire fund portfolio
- No analytics or tool platform needed
- No experience or industry education needed
- Minimal capital required
- NNG Fund Investor Benefits:
- Affordable minimum buy-in of $25,000
- Secured by real estate with high-yield annual rate of return of 10-12%
- Portfolio of holdings that are recorded in the county clerk’s office
- And is fully secured by real estate
- The face value of the Investment portfolio effectively over-collateralizes the investment by more than 500%
- Ability to draw down your capital account balance to buy notes from the fund
Who is Eligible to Participate in the Fund?
To qualify an individual or entity must meet at least one of the following criteria:
An investor who does not meet the net worth requirements for an accredited investor under the Securities & Exchange Commission's Regulation D. A non-accredited individual investor is one who has a net worth of less than $1 million (including spouse) and who earned less than $200,000 annually ($300,000 with spouse) in the last two years.
1. An individual with income exceeding $200,000 or joint income of at least $300,000 with his or her spouse, in each of the past 2 years with the expectation to reasonably maintain the same level of income in the current year.
2. An individual with a net worth exceeding $1,000,000, excluding the primary residence, either individually or jointly.
3. An entity that has assets exceeding $5,000,000 that was not formed solely for the purpose of making the investment
4. An entity whose owners all satisfy items 1 or 2 above.
NNG’s funds offer an effective alternative investment vehicle with access to a non-traditional asset class secured by real estate that can boost your investment returns while diversifying your investment holdings with a low correlation to traditional investments such as fixed income and equities. If you are an investor looking for a passive return on your money, look no further than partnering with the NNG Fund.