Nevada notes sit on Las Vegas and Reno houses or on desert land sold in installments. We put yours in front of more than one buyer and show how each offer was priced.
Where a Nevada offer loses ground, and what you can clear up first.
The same worksheet comes with every offer.
| Remaining balance | $129,400 |
|---|---|
| Payments left | 168 |
| Buyer’s target yield | 8.0% |
| Purchase price | $115,000 |
| Discount from balance | 11.1% |
| Our fee | shown on every offer |
| Sell the whole note | Sell 60 payments | Keep it | |
|---|---|---|---|
| Cash today | $115,000 | $56,200 | $0 |
| Payments still coming to you | None | 108 payments of $1,140 | 168 payments of $1,140 |
| Total you receive | $115,000 | $179,320 | $191,520 |
| What you give up | Every future payment | The next five years | A lump sum now |
Illustrative example. Totals add up the payments as scheduled; they assume the payer keeps paying and are not adjusted for the value of money over time.
The promissory noteThe mortgage or deed of trustA payment historyThe closing statement from the saleNevada loans are commonly secured by a deed of trust, which places the property with a trustee until the debt is paid. After a default the trustee can generally sell the property without a lawsuit, a process called non-judicial foreclosure. A court foreclosure is also available, and extra steps can apply when the borrower lives in the home. Those steps have been revised over the years, so ask a Nevada attorney or title company how the current version applies to your loan before you make a decision that depends on it.
Nevada’s population is concentrated in Clark County, around Las Vegas, Henderson and North Las Vegas, and in the northern corridor of Reno, Sparks and Carson City, and its house notes are concentrated there too. A familiar holder is the investor who bought a house or condo, fixed it up, and sold it on terms to a buyer with steady income but no bank approval. Some of those holders live in another state and collect through a servicer, a company that takes the payments and keeps the records. If you also hold paper on property where you live, look up the security document and the foreclosure route on the page for that state.
A second group holds paper on land. Desert parcels around Pahrump, in Elko County and in the valleys along US 95 have been sold on installments with small down payments. The balances are small and the lots are often unimproved. They can be sold, though fewer buyers bid on them, for reasons set out on our page about vacant land notes.
Beyond those, a Nevada note is priced like any other, on the payer’s equity, the interest rate, the time left and the lien position. The guide to how buyers calculate a price shows the arithmetic, and you can tell us about your Nevada note to see it worked through on yours.
If the property is in an association, ask the payer or the association’s management company for a current statement of the account. It is the one Nevada item a holder can clear up before any buyer raises it. Put it with the note, the recorded deed of trust and your payment record. Holders who live out of state can send all of this by email. If the statement shows unpaid dues, ask the payer to bring the account current, or pass the figure on as it stands, because a known balance is easier to price than an open question.
Yes. Where you live does not affect whether the note can be sold. What matters is the Nevada property, the documents and the payment record, and the closing papers can generally be signed where you are.
They can. In Nevada, unpaid association dues can create a lien that may in some circumstances come ahead of a first deed of trust. A buyer will ask for the association account and will price in any doubt, so it helps to have a current statement. An attorney can tell you how the rule applies to your property.
Some buyers will. The pool is smaller than for houses, and offers depend heavily on the down payment, the payment record and whether the lot has road access and utilities. With so few bidders on land, one quote tells you little, so ask several.
They do the same job, which is to secure the loan with the property. A deed of trust adds a trustee who can generally sell the property after a default without a lawsuit. The note itself, your right to be paid, is a separate document in both cases.