š FOR SALE: Dallas Wrap Note With a Double-Digit Yield
Welcome back to the 50 Deals for 50 Days series! In this episode, Scott Carsonā"The Note Guy"ādeconstructs a highly lucrative sub-two wraparound mortgage deal directly from a private seller in Dallas, Texas. If youāve been looking for a masterclass on how to evaluate performing notes, structure your bids for double-digit cash-on-cash returns, and completely protect your investment capital, this breakdown is exactly what you need.
Scott walks through the anatomy of a recently rehabbed Dallas property under a one-year seasoned owner-financed wrap note. You'll see the real figures, the underlying first lien low-interest rate details, and the clear mathematical formulas that transform a messy secondary wrap position into an ultra-secure, top-performing first lien powerhouse. Whether you are investing your own cash or deploying private capital through a Self-Directed IRA, stop sitting on the sidelines. Letās dive in, audit the collateral data, and help you cross your financial independence finish line!
š Key Takeaways & Episode Highlights
- Anatomy of a Dallas Wrap Asset: Complete breakdown of a 3-bedroom property on a 0.32-acre lot, updated with fresh carpet, new appliances, and laminate flooring prior to being owner-financed in July 2025.
- The Arbitrage Spread Numbers: How the seller created a $258/month cash-flow spread by wrapping a $106,000 underlying first lien (at a low 2.875% interest rate) inside a $180,000 owner-financed note at 7.99% interest.
- The First Lien Strategy: Why smart note investors don't hold wrap notes as seconds; Scott explains the exact protocol to wire funds to Midland Mortgage, wipe out the underlying sub-two debt, and assume a clear, high-equity first lien position.
- Calculating the 10.5% Cash-on-Cash Return: A real-time math breakdown showing how a $150,000 purchase price yields a $15,008 annual payout, yielding a 10.2% net ROI even after factoring in specialized third-party servicing fees.
- Bidding for a 12% Target Yield: How to discount your bid to $128,333 to command a 12% ROI, putting your investment at a safe 71.9% of Unpaid Principal Balance (UPB) with built-in equity protection if a borrower default occurs.
- Due Diligence Checklist: The essential steps for reviewing the full collateral file, assessing local property valuations, cross-checking the RMLO compliance package, and securing regional real estate legal teams like Alan Ceshker.
- Sneak Peek at Whatās Next: A preview of upcoming assets in the 50-day pipeline, including a sub-two deal in Albuquerque, New Mexico, a non-performing note in Florida, and reverse mortgages across the Carolinas.
š ļø Take Action & Scale Your Business Today!
The second half of 2026 is moving fastādon't let the year slip away without adding consistent passive cash flow to your portfolio. Take immediate action right now:
- š¤ Partner on This Deal: Want to purchase or partner directly with Scott on this Dallas wrap note asset? Email your interest or bidding questions to scott@weclosenotes.com.
- š Book a Strategy Session: Schedule a live one-on-one calendar call with Scott to map out your 2026 note buying goals at TalkWithScottCarson.com.
- š Master the Note Business: Claim your virtual seat for our upcoming two-day live class on August 29th and 30th! Head over to NoteBuyingForDummies.com or click the education portal at weclosenotes.com to secure your spot today.
Watch the Original Video of this Episode HERE!
Book a Call With Scott HERE!
Sign up for the next FREE One-Day Note Class HERE!
Sign up for the WCN Membership HERE!
Sign up for the next Note Buying For Dummies Workshop HERE!
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