In most cases, we will not ask you to guarantee the note. If you do not guarantee the note, you are selling it "without recourse," which means you are NOT personally liable for paying the note if the payor quits paying. Make sure you do not accidentally sell "with recourse.
Prior to requesting a quote to make sure that your note is negotiable.
- Your note must be in writing.
- Note must be signed by the person who is buying the property from you.
- You must have the original note and not a signed copy.
- Your note must not be subject to additional performance beyond paying money.
- Your note cannot be governed by another agreement.
- Your note must contain an unconditional promise or order to pay.
- Your note cannot be subject to offsets.
- Your buyer must not have the right of first refusal to buy the note.
- Your note must not be ambiguous.