Monday, August 21, 2006

Private Mortgage Investing - The Risks are Low

Mortgage investors (known as mortgagees) have legal rights to collect on the mortgage debt if borrowers fall too far behind with payments. As with all loans, with private mortgage loans there are risks -- late payments or perhaps no payments. Luckily, such loans are backed by real property. This means that late payments or no payments will eventually be caught up - even if you have to deal with the foreclosure of the property. Most brokers that I have spoken with have either never had to go to foreclosure or gone only once. Even then, they lost no money.

To learn more about it, buy and read Private Mortgage Investing by Teri B. Clark.