Understanding Recent Changes in Credit Scores and Mortgage Terms

In this episode of the Paper Trail podcast, Chris discusses two significant topics affecting the note investing space: the potential for 50-year mortgages and changes in the Fannie Mae and Freddie Mac credit score requirements. The host explains how the removal of the 620 credit score floor could impact loan qualification and why the idea of 50-year mortgages may not gain widespread traction. Emphasizing the importance of understanding the 'rules of the game,' the host advises investors to stay focused on their business fundamentals and not get distracted by industry hype and external chatter.

00:00 Introduction and Episode Overview

01:01 Credit Score Changes and Their Impact

03:18 The 50-Year Mortgage: Pros and Cons

06:03 Focus: The Key to Successful Investing

11:15 Understanding the Rules of the Game

19:55 Conclusion and Final Thoughts

In this episode of the Paper Trail Podcast, host Chris shares insightful stories from his years of experience in note investing. He reflects on his journey since rebranding from the Good Deeds Note Investing Podcast and delves into two detailed case studies involving complex loan situations.

Chris discusses the importance of patience, direct involvement, and the value of understanding both consumer and investor laws. He also emphasizes the necessity of proactive management and communication with borrowers to protect investment interests. As always, listeners are encouraged to interact and learn more about investment opportunities with 7E Investments.

00:00 Introduction and Podcast Rebranding

00:29 Early Podcast Days and Lessons Learned

01:51 The Slow Pace of Note Investing

02:21 Case Study 1: Investor Loans and Extensions

09:24 Case Study 2: Builder Loans and Foreclosure

12:39 Dealing with Difficult Borrowers

18:08 Conclusion and Final Thoughts

In this episode of The Paper Trail Podcast, Chris shares what he calls the biggest mistake of his note investing career: buying a 0% interest loan. Despite acquiring it at a steep discount, the loan turned into a frustrating and time-consuming challenge. Chris breaks down what went wrong—from unpredictable borrower behavior and high servicing fees to the illusion of “cheap” deals that aren’t worth the effort.

He explains how low monthly payments can erode returns, why understanding your servicing contract is critical, and how certain borrowers exploit the system. Through this candid story, Chris illustrates the hidden dangers of loans that seem too good to be true and why discipline, due diligence, and realistic pricing matter more than chasing a bargain.

This episode is an unfiltered look at the mistakes, frustrations, and lessons that come with real-world note investing—offering valuable takeaways for anyone entering the business or managing a portfolio today.

In this episode of The Paper Trail Podcast, Chris breaks down one of the most overlooked mistakes in pricing non-performing loans—underestimating the risk of reinstatement on low-interest loans. He shares how even experienced investors can misprice assets by focusing too heavily on foreclosure-based models without considering what happens if a borrower resumes payments.

Chris also offers a real-world update from 7e Investments’ record-breaking third quarter, previews upcoming educational seminars, and introduces 7e’s new private lending program offering DSCR and fix-and-flip loans. Whether you’re a seasoned note buyer or new to the space, this episode offers practical, experience-based lessons to refine how you analyze loan tapes and avoid common valuation errors.

In this episode, Chris breaks down one of the most misunderstood aspects of mortgage note investing—how to price non-performing loans correctly. Drawing from real case studies, he explains why assuming a fast foreclosure timeline can lead to major miscalculations, how borrower behavior (like filing for bankruptcy) impacts your timeline and return, and why the biggest risks often come from what you can’t predict.

Chris also shares how 7e models downside risk using IRR and scenario planning, why adding just one month to your assumptions can save your entire deal, and what to do when legal errors, borrower beliefs, or delays threaten your outcome. This episode is a must-listen for investors who want to move beyond surface-level deal sourcing and understand what it really takes to manage notes profitably.

This is part one of a multi-part series on loan pricing fundamentals.

In this episode of The Paper Trail Podcast, Chris recaps the recent Paper Trail Conference and the intentional decision to keep sessions unrecorded for candid discussions. He then dives into the latest foreclosure and REO data from ATTOM and USFN, comparing national trends with the 7e Investments portfolio. Foreclosure activity is climbing, REOs are surging, and certain markets like Florida, Nevada, and South Carolina are experiencing significant distress. Chris explains how these trends affect investors, why understanding local markets matters, and how note buyers should factor price declines and holding costs into bids. He also previews an upcoming 10-part series on bidding strategies for non-performing loans, highlighting the need to look beyond calculators and consider external factors. The episode closes with thoughts on rising non-performing loans in commercial and multifamily sectors and what these shifts mean for upcoming opportunities in distressed debt.

A casual chit-chat unfolds as George and Chris dive into the coffee-fueled world of commercial real estate. They kick things off with some light banter about their coffee preferences—George's straight black versus Chris's adventurous mushroom blend, a nod to the quirky side of their industry. From there, George shares his unexpected journey into the realm of real estate, which started as a part-time gig just after college and spiraled into a decades-long career. They explore the nuances of commercial brokerage, touching on everything from retail and office spaces to the importance of being adaptable in an ever-changing market.

George emphasizes the need for real estate agents to stay educated and embrace new technologies—because in the wild world of commercial real estate, it's survival of the fittest, or in their case, the most adaptable! They tackle the question of what truly adds value to a property, with George sharing some killer insights on how strategic upgrades can lead to significant returns. A highlight of the convo is their take on the current market, aptly dubbed the 'fog of war,' reflecting the uncertainty and myriad influences affecting investors today. Chris and George offer a refreshing take on how to navigate the tricky waters of real estate, blending wisdom with a sprinkle of humor.

n this episode of the Paper Trail Podcast, we speak with Chalea Grant of Mountain West Ranches, a family-owned land investment and note company on the West Coast, and a sponsor of the Paper Trail Note Conference. Chalea shares how his family has been building trust with investors since 1990, using seller financing and a fully in-house process to ensure quality, transparency, and strong returns.

From navigating investor concerns and scams to providing recourse guarantees on land notes, Chalea reveals what makes Mountain West Ranches a standout in the land investment space. Investors will learn why having everything in-house, maintaining detailed documentation, and prioritizing long-term relationships leads to a reliable, stress-free investment experience.

Resources & Contact:

• Website: mwranches.com/land-note
• Email: [email protected]

Join Chalea and other industry leaders at the Paper Trail Note Conference, September 18–20, in Chandler, AZ. Register Here

In this episode of the Paper Trail Podcast, we sit down with Nicole Merriman, a top real estate agent with eXp Luxury in Las Vegas, to explore the critical role agents play in the note investing world. Nicole shares her journey from hospitality to real estate, how she navigated unique challenges during COVID, and why she’s committed to helping investors and homeowners achieve success with integrity and creativity.

Through real-life stories, including complex foreclosure transactions and unconventional properties, Nicole reveals the importance of responsiveness, common sense, and compassion when managing high-stakes deals. Her hands-on approach, problem-solving skills, and dedication to going above and beyond make her a standout professional in the industry.

Whether you’re an investor, lender, or real estate professional, this episode offers actionable insights into navigating tricky properties, working with buyers and sellers, and the value of having a reliable, knowledgeable agent on your team.

Resources & Contact:

• Nicole Merriman – eXp Luxury: Call/Text: 734-512-9324 - Connect with Nicole for expert guidance on Las Vegas luxury and investment properties
• Paper Trail Conference: Join us September 18–20 in Chandler, AZ for more education, networking, and actionable strategies for note investors Register Here

This episode of the Paper Trail is a treasure trove for anyone looking to navigate the wild world of private lending and mortgage notes. He kicks things off with a bang, sharing his own journey as a CEO of a mortgage note fund, and trust me, it's packed with all the juicy details about what went right, what went sideways, and the lessons learned along the way. Chris dives into the nitty-gritty of the industry, from non-performing loans to seller financing, stressing the importance of having a solid exit strategy—because, let’s be real, nobody wants to be stuck in a deal that’s gone south! He also chats with David Cook from Contessa Capital, who brings his 30 years of experience to the table, sprinkling in some sage advice about being a savvy investor and the pitfalls to avoid. So, whether you're a newbie or a seasoned pro, this episode is brimming with insights and laughs that'll keep you entertained and informed.

Join Chris and his buddy David as they dive deep into the wild world of mortgage notes, lending, and all things finance! Chris kicks things off with a friendly intro, setting the stage for some serious talk about the journey of a CEO running a mortgage note fund. David, who’s been in the game for over 30 years, spills the beans on how he got into investing and the rollercoaster ride that followed. From the challenges of navigating through market shifts to the ins and outs of private lending, they keep it real and relatable. David shares some juicy tales about what went right—and what went hilariously wrong—offering listeners a front-row seat to the drama and excitement of investing.

Throughout their chat, they touch on the importance of having a solid exit strategy before diving into any deal. You know, like that one time David learned the hard way that having a plan is crucial—especially when things get bumpy. He stresses that anyone looking to invest needs to keep their eyes peeled for potential pitfalls and be ready to pivot when the market throws a curveball. Plus, they share advice on starting small, like a side hustle, before taking the plunge full-time.

With a sprinkle of humor and a whole lot of wisdom, this episode is a treasure trove for aspiring investors. Chris and David drop knowledge bombs about the key principles of successful investing and how to be a good partner without being a pushover. They wrap up with a friendly nudge to follow the paper trail and trust the process—because in this game, patience is a virtue!

Links referenced in this episode:

• papertrailconference.com

Companies mentioned in this episode:

• Contessa Capital