The key word here is “complete.” Not “some” or “most.” Complete!
Experienced buyers follow a due diligence checklist outlining critical documents required for funding each note in a transaction.
The original collateral consists of:
– The note
– Deed of trust or mortgage
– Title policy
– Any loan modifications
Some refer to the process of organizing a file as “stacking.” Make no mistake, though, whatever you call it…not providing all of the collateral can impact the value of a note and definitely get in the way of finding a buyer.
Stay tuned here for more hazards. Hazard 1 is in a previous post.