Paperstac's 2019 Mid-Year Market Report
This report contains anonymized trade data based on
Paperstac.com
salesfrom our
2,013
users betweenJanuary 1st, 2019
toJune 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 Prices
(per individual asset)
$53K
Performing
1st position
$38K
Non-Performing
1st position
$25K
Performing
2nd position
$8K
Non-Performing
2nd position
Deal and Asset Overview
(what is selling and how deals are getting done)
Performing vs Non-Performing
Performing
62.5% of assets sold
Non-Performing
37.5% of assets sold
1st Position vs 2nd Position
1st Position
65% of assets sold
2nd Position
35% of assets sold
Single Asset vs Pools
Single Asset
82.5% of assets sold
Pools
17.5% of assets sold
Escrow vs Direct to Seller Payment
Used Escrow
58% of deals funded
Direct to Seller
42% of deals funded
Funded Using SDIRA Account
Yes
26% of deals funded
No
74% of deals funded
Used a Collateral Auditor
Yes
92% of deals
No
8% of deals
Industry Insights
(analysis from industry experts)
“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.”
Tracey Rewey
NotesDirect“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
7E Investments“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.”
Brecht Palombo
Distressed Pro“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.”
Dickie Baldwin
Baldwin Advisory GroupComments
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