Welcome back to the 50 Deals for 50 Days series! In this episode, Scott Carson—"The Note Guy"—takes a deep dive into an absolute gem of a low-balance re-performing note tucked away in Port Arthur, Texas. If you’ve been hunting for a safe, secure "base hit" to jump-start or boost your Self-Directed IRA without taking on huge capital risks, this real estate note breakdown is tailored exactly for you.

We are dissecting a performing first-lien mortgage on a beautiful, modern home rebuilt from the ground up in 2021. Scott lays bare the underlying math, the rock-solid equity cushioning, and the passive cash-flow potential that makes this the ultimate entry-level note deal. But remember the golden rule of note investing: don't fall in love with the real estate! You aren't buying the bricks, the plumbing, or the property management headaches—you are buying the debt and becoming the bank. Let's jump into the numbers and see how this little asset can generate an exceptional return for your portfolio.

• The Asset Blueprint: A 3-bedroom, 2-bath, 986-square-foot stilted home in Port Arthur, Texas, rebuilt entirely in 2021 with stunning park and water views.
• Rock-Solid Equity Protection: With an online valuation around $152,000 and an unpaid legal balance of just $23,200, you are buying a first lien at an incredibly safe 15% Loan-to-Value (LTV) ratio.
• The Loan Modifications: Originally written in 2007, this loan was modified during COVID in 2020 to a low 3.75% interest rate. Because of this incredibly low rate, the borrower has zero incentive to refinance, ensuring a long-term passive holding.
• The 13% ROI Math Breakdown: Purchasing at 80% of the legal balance ($18,560) plus a standard transaction fee puts your acquisition cost at roughly $19,560. With a $211.76 monthly payment, it creates an absolute 13% gross cash-on-cash return.
• Net Yield After Servicing: Even after deducting standard professional third-party servicing costs ($30 to $35/month), this asset still tracks at a powerful, net 11% ROI.
• The Perfect Solo IRA Play: Why this small-balance asset is a textbook fit for an individual or solo investor using personal funds rather than trying to raise joint-venture private capital.
• Streamlined Due Diligence Checklist: Scott’s recommendations for a low-cost drive-by inspection, pull-comps check, and verification of the escrowed taxes and hazard insurance policy.

Don't let the second half of 2026 slip away without stacking up consistent, passive cash flow. Let's celebrate your financial independence day by taking massive action right now:

• 📩 Submit a Bid: If you are ready to review the collateral file or put an offer in on this Port Arthur re-performing first lien, reach out directly at scott@weclosenotes.com.
• 📞 Schedule a Call: Got questions about structuring your low-balance IRA deals? Book a direct chat on Scott's calendar at TalkWithScottCarson.com.
• 🎓 Claim Your Education Ticket: Register for our next two-day virtual Note Buying Workshop on August 29th and 30th for just $99 at NoteBuyingForDummies.com or head to weclosenotes.com!

Watch the Original VIDEO HERE!

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