Sell Your Mortgage Note in Texas
You carry a note on a Texas property and you would rather have the
cash. JKP Holdings has been buying seller-financed and investor-held
mortgage notes since 2010, and Texas is one of the seventeen states we buy in.
Tell us about your note and you get a free written offer within 24 hours. No
upfront fees, and no closing costs taken out of your side.
Get a free written offer
on your Texas note →
Why a Texas note is worth looking at closely
Where the property sits changes what a note is worth, and Texas has three
features that matter more than most.
Texas is a non-judicial foreclosure state
Most Texas notes are secured by a deed of trust, which lets a lender
foreclose through a trustee sale rather than a court case. Recovery in a
judicial state can take a year or more; Texas is generally much faster. That
speed lowers a buyer’s risk, and lower risk shows up in the price you are
offered. It is one of the reasons a Texas note often prices better than the
same note in a slower state.
Wraparound notes are common here
Texas sellers use wraparound structures more than almost anywhere else: you
sold the property and carried a note, but the original loan underneath is still
in place. Wraps are not a problem, but they are a different transaction and the
underlying debt has to be paid off as part of it. If that describes your note,
start here instead:
selling a wraparound note.
Seller-financed notes have origination rules
If you sold a home to an owner-occupant and carried the paper, the way the
loan was originally written affects how a buyer can treat it. We look at this
as part of the offer rather than making it your problem. If you are still
creating notes and want the origination side handled properly, see
seller financing and RMLO.
Texas notes we buy
- Where: anywhere in Texas — Houston, Dallas, San
Antonio, Austin, Fort Worth, El Paso and every market in between - Position: first and second lien, both
- Property: single family, multi-family, and mobile homes
that have been detitled. No raw land. - Value: properties valued roughly $50,000 to $300,000
- Payment history: performing, re-performing, and
non-performing — a borrower who stopped paying does not disqualify
your note
Holding a portfolio rather than a single note?
Selling notes in bulk runs through a
different process.
What you will be offered, and why it is less than the balance
Every note sells for less than its remaining balance. You are trading
payments spread over years for money today, and the size of that gap depends on
the interest rate, how much the buyer has paid down, how long they have paid on
time, the property’s value against what is owed, and how the paperwork was
written.
That discount is the single thing note sellers ask about most, and it
deserves a fuller answer than a sentence:
why notes sell for less than face
value. If you have not sold yet and want a stronger offer, this is worth
reading first:
what makes a note valuable.
How selling works
- Tell us about the note. The property, the balance, the
rate, the terms, and how the payments have gone. - Get a written offer within 24 hours. Free, with no
obligation and nothing owed if you walk away. - We verify. Title, a valuation on the property, and a read
of the loan documents. We pay for this, not you. - You get paid. Closings are usually done in under a
week once the paperwork checks out.
Common questions from Texas note sellers
Do you buy notes in every part of Texas?
Yes. The major metros come up most — Houston, Dallas, San Antonio,
Austin — but we look at notes anywhere in the state.
My borrower has stopped paying. Is the note still sellable?
Yes. We buy non-performing notes as well as performing ones. A note in
default is worth less than one paid on time, but it is not worthless, and Texas
foreclosure timelines work in a buyer’s favour compared with most states.
Can I sell only part of my note?
Often, yes. A partial sale gives you a lump sum now while you keep some of
the payment stream. Whether it beats a full sale depends on what you need the
money for, and we will price both so you can compare.
What does it cost me?
Nothing. No upfront fees, and the cost of valuation, title work and closing
comes out of our side.
How long does the whole thing take?
A written offer within 24 hours of hearing about your note, and closing
usually inside a week once documents are verified.
Do I owe tax on the sale?
Possibly — it depends on your basis in the note and how the sale is
structured. Texas has no state income tax, but federal treatment still applies.
Ask your own accountant; we are note buyers, not tax advisers.
Get an offer on your Texas note
Send us the details and you will have a written offer within 24 hours. There
is no cost and no obligation, and if the number does not work for you, nothing
happens.
JKP Holdings buys notes in Alabama, Colorado, Florida, Georgia, Idaho,
Indiana, Michigan, Missouri, New Jersey, North Carolina, Ohio, South Carolina,
Tennessee, Texas, Utah, Virginia and West Virginia. This page is general
information about selling a mortgage note in Texas and is not legal or tax
advice.
