The infomercial makes it seem like note flipping is this easy business. Just spend an hour or two at the county clerk office, write down some names, contact them with your sales pitch, get them to agree to sell, match them up with note investors who they can hook you up with who handle all closing costs and the money is forwarded to your bank account in days.
The reality is this does not work in that way. A note flipper is the middleman in a business that already has professionals with a closer connection to the source of the note holders and investors. These are legal transactions you are dealing with and you MUST have a lawyer working for you.
Initially, you will want a lawyer who will work on your team. Think of him/her as an important business partner. In fact, if money is an issue, ask if they would like to be your business partner for a percent of the profit in exchange for handling the legal work. You may have to do a lot of work finding someone who will work with you because many who are in this field are often doing this work for themselves and it would be a conflict of interest to do it for you. Always ask, why would you work hard to make me money when you could be making that money for yourself in your own business?
Depending on the type of note you are collecting, you will want to find a lawyer that not only works on real estate or injury settlemens, but is interested in helping to process the notes for quick payouts. Again, make your choice carefully because they can easily cut you out of the picture.
Do a Google search (there is even a search box on this page you can use). Use terms such as real estate lawyer, injury lawyer, or note buying lawyers. Go through the listings and write down as many names and numbers as you can find. Then call and interview them to make sure they can work with you and you feel you can trust them.
When you find the right lawyer to make as a partner in your business, have them draw up legal documents which will protect both of your interests in this business. And yes, you should hire a lawyer to make sure the document is in your best interest. If all is in agreement, consider him/her your newest and important business partner. You really cannot do this business properly without a lawyer working for you.
