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Small Axe Podcast


May 3, 2021

Today’s guest is Kevin Galang, the co-founder of Community Copilot, a software sales engineer, note investor, and host of two podcasts, Tech Guys Who Invest and Note Nuggets!. He is passionate about three things, living abundantly, personal development, and convincing people that the American dream is more of a nightmare.

While working at tech sales, he focuses on investing in the mortgage note while helping other business professionals turn other people’s debt to income for their savings or IRA through public speaking at webinars and local real estate meetups. He believes that you can not save your way to financial security; investing is a must! 

 

Let’s listen to Kevin to learn more about Note Investing.

[00:01 – 05:55] Opening Segment 

  • Let’s get to know Kevin Galang.
  • Kevin shares brief information about his background
    • Currently, work in tech sales as his 9-5 job.
    • He shares his parent’s view of success. 
    • He talks about his girlfriend’s influence on real estate investment.
  • Why he chooses note investing.
    • Owning the debt
  • Kevin talks about how and when he started the note investing business.

 

[05:56 – 12:25] Note Investing Business

  • What’s interesting about notes compare to other assets.
  • Promissory notes.
  • Buying debts
  • Kevin talks about his focus on mortgage notes.
    • Not being responsible for any maintenance. 
  • Multiple ways to find notes
    • Institutional notes
    • Investors 
    • Mom-and-Pop Notes 
  • The advantage of working with private citizens vs. institutions or investors.
  • The possibility of negotiating for notes.
  • Mortgage interest rates
    • A yield.
  • Partner-up and partial note.

 

[12:26 – 19:00] The Grand Slam Note

  • Notes can only be bought in cash.
  • What to look for in buying Notes.
    • How much equity is in the property?
    • What’s the history of the borrower?
    • What the process would be to foreclose (judicial vs. non-judicial)
  • Kevin talks about his criteria for buying notes
    • The loan balance compared to the value of the property
    • Investment to value (ITV)
  • The ideal situation in note investing.
    • 50% ITV with strong payment history.
  • Reasons why people would default on their notes.
  • Performing notes and non-performing notes.
  • Kevin talks about the certain market that he is looking at currently.

 

[19:01 – 31:00] Foreclosing 

  • Kevin talks about the process after the foreclosure happens.
    • Depending on who you work with and the inside of the property 
    • Either sell it as it is or fixes and renting it out.
    • Create a new note
  • Certain asset classes that Kevin is currently looking at.
  • Secure debt and unsecured debt
  • Kevin shares how to find notes
    • LinkedIn, webinar, networking, and directly to banks.
    • Public records, paperstac.com, notesdirect.com, etc.
  • Direct mailers to find notes.
  • Avoid ‘Daisy Chains’ notes.
  • The approach strategy and foresight in notes investing.
    • Forbearances.

 

[31:01 – 33:37] Closing segment

  • If your great-great grandkids are to write a book about you, how would you like it to be titled? 
    • Inspire others not to minimize themselves.
  • Connect with Kevin.
    • See the links below. 
  • Final words from me.

 

Tweetable Quotes:

With note investing, there are so many ways you can make money and so many ways that you can protect yourself.” –  Kevin Galang.

One thing we learned in 2021, that nothing is guaranteed, a whole industry can be flipped in a moment with everyone in it..” – Kevin Galang.

You have to be really aware and avoid daisy chains note, by checking who is selling the note.” – Kevin Galang,

 

You can connect with Kevin on LinkedIn. Or you check out his podcast notenuggets.com/podcast or www.tgwipodcast.com and email at kevin@notenuggets.com

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I believe that you only need a small axe to build a lasting empire. Let’s start building yours!

To know more about me and all the real estate opportunities you can find, you can connect with me on LinkedIn, Instagram, and Facebook or check out my website https://smallaxecommunities.com/ and book a call with me.