Have you ever driven by a junkyard or scrapyard? Have you ever gone into one? Looked around? Talked to the owner? Bought something? Sold something?

Some of us have, most of us have not. Maybe we drive by and see a bunch of stuff, but we probably don't give the place much thought. Yet, almost every town has one. Maybe the business has been in the family for years. Or maybe it has changed hands from time to time. But the place seems to thrive and provide a living for its owner.

I bring this up to discuss an issue that these owners face when they want to sell their property. Hey, he has junk laying all over the place, would a bank be comfortable financing a buyer for this type of business and property? Probably not. So the seller will have to step in and take the place of the bank if he wants to get his junkyard sold. He will carryback the note.

But suppose the seller really wants to cash out? Maybe he has another business opportunity he is looking at. Or maybe he just wants to sever his ties with the junkyard and move on. Does he have any options?

Yes, he does. There are a select few notebuyers who have successfully carved out a niche of paying cash for difficult to finance properties such as this one. So a property owner who has decided to sell, found an appropriate buyer and structured a sound owner carryback note, can accomplish his objective by helping the buyer with the financing , get some seasoning, and then selling the note in the open market for cash.

What about other properties that are very commonplace  but generally difficult to obtain financing for? Will a notebuyer consider buying the note in these cases? Yes. Included here would be smog shops, auto repair shops, funeral homes, churches, gas stations, motels, mom and pop restaurants. How about a pet cemetery?

Sure.

You could probably add to this list. Bottom line, if you have one of these notes or know someone who does, help may be available to get that note sold.

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                                   Nosey Born

In California, a black bear was known to have travelled upwind in a straight line for a distance of more than three miles to find a dead deer.   Tidbits.com

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                               Dead Cat Bounce

If you like to read contrarian points of view about the real estate market. here is someone you would be interested in. "If the economy is not generating jobs and income, how can it possibly generate home sales"? Check out stock analyst Dave Kranzler and his article The Housing Market Recovery is a Complete Myth. Tuesday April 23, 2013, www.seeking alpha.com. Thanks to real estate broker Duretta Lorang for providing this information.

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Sometimes a man can meet his destiny on the road he took to avoid it. Clive Owen, actor, as an Interpol Agent in The International.

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             Mom and Pop Dominate Seller Carryback Creation

Advanced Seller Data Services compiles lists and data of note holders. Their  last study showed a 15% increase in note creation from 2011-2012, with 90% of 2012 notes created by Mom and Pop noteholders. Most of them will do only one note in their lifetime.

The top three states last year were Texas, California and Florida, with Texas creating twice as many as California. District of Columbia, Mississippi and Delaware had the fewest.

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            America's fastest and Slowest Growing Cities

www.findthecapital.com is sighting a study by Wendell Cox of www.demographia.com.

Mr. Cox 's study seems to dispel some talk about the decline of the Sun Belt, and the future movement of our population towards crowded, compact and mostly Northern cities.

His study included 52 metropolitan areas of 1 million or more porpulation and covered 2000-2012. He summarizes that the Sun Belt is growing because of economics, fueled by energy rich areas; housing affordability, family formation, and hipness.

Ten Fastest Growing Cities

1. Raleigh, N.C.

2. Austin

3. Las Vegas

4. Orlando

5. Charlotte

6. Riverside-San Bernardino, Ca.

7. Phoenix

8. Houston

9. San Antonio

10. Dallas- Fort Worth

Ten Slowest Growing Cities

1. Cleveland

2. Detroit

3. Buffalo

4. Pittsburgh

5. Providence

6. Rochester

7. Milwaukee

8. St. Louis

9. Chicago

10. New York

My Texas friends are saying "Yes we are! " My East Coast roots and friends say "This study is biased!"

Come to your own conclusion.

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                               Know Thyself

Somewhere along your career path you probably took some kind of personality test so you could understand yourself better, and in so doing, learn to recognize other people's personality type as well. You did this so you would be better able to work with co-workers, become a better saleman or manager, etc.

If you would like to revisit "who you are" or maybe find out for the first time, you can visit www.Humanmetrics.com and take  the Free Jung Typology Test.

Have fun, but don't blame me if you don't like the result!

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                            Pay Your Fair Share

President Obama has said publicly many times that the "wealthy" in our country should pay their fair share of taxes. He believes they do not. He likes the Buffet Rule, which would have people earning $1 million a year or more paying at  least 30% of their income in taxes.

The  White House has released the President's 2012 tax return in which he reported an adjusted gross income of about $608,000. His effective income tax rate was 18.4%.

I seem to remember the President's party suggesting that anyone who made $250,000 or more annually was considered rich or wealthy and needed to pay their fair share.

Does the President qualify? Is this his fair share?

Would our legislators tell us, in advance, how many extra dollars of revenue this would generate from the rich? Would they tell us specifically what economic problems this additional revenue would solve? Would they tell us specifically how this money would be allocated? Would they tell us how Americans overall would be better off?

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                            Lending Absurdity

The public knows that lending standards to purchase real estate are tight. How tight?

www.MortgageCurrentcy.com is a website that keeps loan officers and underwriters current on regulations and guidelines for FHA, VA, Fannie Mae and Freddie Mac loans. Here is a recent sample of hoops that some borrowers have to jump thru to get their loans approved:

A borrower earning $10,000/monthly had to explain a $6 deposit!

A borrower had a garage sale, deposited $235, and had to submit an ad proving that the sale occurred!

A single father who had custody of his child was asked for a letter stating he did not have to pay child support!

A borrower had to provide a letter expaining why she changed her name after she married!

If you have noticed, bank profits are rising nicely!

              Trivia - Nothing To Do with Real Estate Notes

1. In what century did the Industrial Revolution begin?

2. What state is home to Moosehead Lake?

3. How much did jockey Willie Shoemaker weigh at birth?

4. How tall was his dad?

5. ESPN's 100 Greatest Athletes of the 20th Century included one non-human. Name him.

                                 Trivia Answers

1. 18th century

2. Maine

3. one pound, 13 ounces

4. six feet. Willie was 4' 1"

5. Secretariat, race horse

                 Tidbits.com

See you next month.

 Sincerely,

Denny Stanz

CA Broker # 01915404