From Land Purchase to $347,000 Profit: How Penny Payne Mastered Creative Financing with NoteSchool

When Penny Payne discovered two prime parcels of land with breathtaking mountain views in Las Cruces, New Mexico, she knew she had found something special. What she didn’t know was that this opportunity would lead her to become an award-winning case study at NoteSchool’s Note Expo, showcasing how creative financing strategies can transform a good real estate deal into an exceptional one.

Finding the Perfect Opportunity

The property consisted of two adjacent 10-acre tracts of land situated at the edge of the mountains, offering stunning panoramic views that made them highly desirable in this affluent area. While the market value of each tract was approximately $242,000, Penny managed to secure both parcels for just $191,000 from a motivated seller.

“When you find a deal like this, you need to know exactly how to structure it properly,” Penny explains. “That’s one of the main reasons I joined NoteSchool. I was about to get this under contract and wanted their expertise to make sure I did everything correctly.”

Creative Financing in Action

Working with her NoteSchool coaches through their Deal Labs program, Penny implemented several sophisticated financing strategies:

1. She secured a hard money loan to purchase both properties
2. Negotiated a crucial partial release provision that would allow her to sell one tract while maintaining the loan on the other
3. Structured a seller financing deal that maximized her returns

“You don’t know what you don’t know,” Penny reflects. “I like to ask for help from the best, and that’s exactly what I found with Eddie Speed and the NoteSchool team.”

The Numbers That Changed Everything

The results of Penny’s deal showcase the power of creative financing:

• The purchase price for both tracts: $191,000
• The sale price of the first tract: $242,000
• Down payment received: $24,250
• Monthly payments: $2,072 ($24,864 annually)
• 5-year balloon payment: $195,000
• Total return on the first tract: $347,000

The most remarkable aspect? Penny still owns the second tract, which represents pure profit potential since it’s already paid for through successfully structuring the first deal.

The Power of Proper Training

During the Deal Labs sessions at NoteSchool, Penny worked closely with experienced coaches who helped her navigate crucial aspects of the deal, including:

• Negotiating with the hard money lender
• Structuring the partial release provision
• Setting up the seller financing terms
• Finding and working with the right realtor

“I brought this to Deal Labs several Tuesdays, and we went through the process step by step. Access to people who have been doing this for four and a half decades made all the difference.”

A Deal That Keeps on Giving

The buyer of the first tract, a successful local builder, is now constructing a 5,001-square-foot mansion on the property—further increasing the value of Penny’s note. Even better, the same buyer has expressed interest in purchasing the second tract, potentially leading to another profitable seller-financing opportunity.

“This deal is going to feed my family for a while,” Penny proudly shares. “And now that I have the momentum, I’m looking at several other opportunities. The key is taking action and being coachable.”

Ready to Write Your Own Success Story?

Penny’s journey from spotting an opportunity to becoming an award-winning case study at Note Expo demonstrates the power of proper training and creative financing strategies. Her success wasn’t just about buying low and selling high—it was about structuring the deal in a way that maximized returns through seller financing, adding over $100,000 in additional profit.

If you’re ready to learn how to structure deals like Penny’s and join a community of successful real estate investors, then whenever you are ready, below are four ways you can begin your note investing journey today…