Ideas for a better investment
2019 Mid-Year Market Report
See what mortgage notes sold for on the Paperstac marketplace for the first half of 2019 in our market report.
2 min read
This report contains anonymized trade data based on Paperstac.com salesfrom our 2,013 users between January 1st, 2019 to June 30th, 2019.
Average Investment to Balance
(sale price / unpaid principal balance)
| 77% Performing 1st Position | 55% Non-Performing 1st Position | 75% Performing 2nd Position | 33% Non-Performing 2nd Position |
Average Investment to Value
(sale price / property value)
| 63% Performing 1st Position | 36% Non-Performing 1st Position | 9% Performing 2nd Position | 5% Non-Performing 2nd Position |
Average Sale Price
(per individual asset)
| $53K Performing 1st Position | $38K Non-Performing 1st Position | $25K Performing 2nd Position | $8K Non-Performing 2nd Position |
Deal & Asset Overview
(what is selling and how deals are getting done)
Industry Insights
(analysis from industry experts)
“Note asset pricing continues to creep up but based on the data there are still double digit returns to be made. Recent sales showing performing notes yielding 13% to buyers and non-performing firsts selling at 55% of UPB have been the norm for the past few years and we believe these prices will continue to rise and compress returns.”
Christopher Seveney
“I’m surprised to see how close the strike prices are on firsts as compared to seconds. That number either communicates that the assets on your platform are especially good or that investors are taking on disproportionate risk for the same relative returns.”
“Note investors rely on ITV, LTV, % of UPB, and Yield as the four cornerstones for note pricing calculations. The mid-year stats are similar to what we are seeing at NotesDirect and are reflective of a market with a good balance of supply and demand.”
“I was surprised that the percentages on your market report were so good. There aren’t too many parts of the country where property values haven’t been on the up swing, which of course is a plus.”
Christopher Seveney