Ep. 119: Investing in Note Funds with Dave Van Horn

Since 2007, Dave Van Horn has served as President and CEO of PPR Note Co., a holding company that manages several funds that buy, sell, and hold residential mortgages nationwide. Dave has raised over $100 million dollars for both notes and commercial real estate and also owns a considerable portfolio of residential investment properties, as well as various commercial holdings.

 

In addition to his investments and role as CEO, Dave’s biggest passion is teaching others how to build and preserve wealth. He shares how he helps investors stay in their homes, how he’s on track to build a billion-dollar company, his most rewarding piece of real estate and why he believes in helping others get what they want.

 

Partner: Download a Free Sample Apartment Deal Package

 

Key Market Insights

• Launched PPR Note Co in 2007 with a group of friends
• Leveraged experience from over 20 years of syndication into note investing entering 13th year
• Had one source starting out and started learning more and working with JV partners
• Started out with junior liens – business plan is a modification of payment
• First lien you need to exit the deal through the property
• Junior liens are usually home equity line of credit or second mortgage
• Multiple exit strategies: forbearance, foreclosure, modification, deed in lieu
• In a down market, there is an abundance of product, with great margins
• In an up market, there are fewer deals, margins are slim, but the exit is easier
• Once you get 12 months of payments, the non-performing note, becomes performing and the value increases
• Goal is to be a billion-dollar fund in less than 10 years
• Note Fund vs. Multifamily Fund: Notes can be turned more quickly and are liquid, multifamily has tax advantages
• Most rewarding real estate is a recovery house
• Hopes to raise $100,000 for the homeless
• Tips to start note investing today: get a coach, get performing note
• FB and BP groups on notes – hard money lending
• Invest in what you know for notes  

Partner: Check out the Passive Income through Multifamily Real Estate podcast with Kyle and Lalita Mitchell

 

 

Bull’s Eye Tips:

Winning Your Market: Find the blue ocean

Tracking Market Changes: in-house economist

Daily Habit:  workout, journal and read and meditate

 

Resources:

Scaling Up: Mastering the Rockefeller Habits by Verne Harnish

   

Traction by Gino Wickman

 

 

Best Business Books:

Attention Pays by Neen James

 

Digital Resources:

Whoova

Tweet This:

“With 1-4 unit residential properties, borrowers have a vested interest”

 

“Help others get what they want and you’ll get what you want”

 

 

Places to Grab a Bite:

Jim’s Steaks Tallulah’s Garden

 

Connect with Dave:

Website: PPRNoteCo.com

Social: BiggerPockets

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