2026 Guide: How to Raise Capital to Buy Mortgage Notes Like Canada's Top Investor
by Raises.com
You can raise capital to buy mortgage notes by forming an SPV, creating a pitch deck, and targeting debt and equity investors through a structured fund. The process blends education, networking, and a clear legal structure so you can move quickly on deals that range from a few hundred thousand to a few million dollars.
Key Lessons From Nathan Turner
- Learn the Business First, Study note investing as a distinct discipline; it is not the same as traditional rental property investing.
- Network in the Small Community, The secondary and tertiary note market is tight; most participants know each other and share deals worth "a million bucks at a time".
- Structure an SPV or Fund, Use a special purpose vehicle to isolate risk, create a private placement memorandum, and present a clear operating agreement to investors.
- Target the Right Deal Size, Focus on notes that fit your capital raise; many investors are comfortable with $500k-$2M transactions rather than multi-hundred-million deals.
- Leverage Flat-Fee Services, Platforms like Raises.com provide the full package, SPV formation, PPM, data room, pitch deck, and investor introductions, without a success fee.
Comparison of Common Capital Structures
| Structure | Capital Needed | Control | Speed to Close | Typical Deal Size |
|---|---|---|---|---|
| Direct Note Purchase (personal) | Up to $500k | Full | Weeks | $100k-$500k |
| SPV/Fund (raised capital) | $500k-$2M | Shared with investors | 1-2 months | $500k-$2M |
| GP Partnership (co-invest) | $250k-$1M | Partial (GP leads) | 1-2 months | $250k-$1M |
| Self-Managed Portfolio (multiple notes) | Varies, often $1M+ | Full | Months | $1M-$5M |
Applying These Steps to Buying a Business or Real Estate
Start by drafting a simple private placement memorandum that outlines the target asset, projected cash flow, and exit strategy. Form an LLC or corporation as your SPV, then upload the PPM, operating agreement, and financial pro-forma to a secure data room. Use the Raises.com flat-fee package to get a pitch deck and introductions to both debt and equity investors. Once you have commitments, close the deal and manage the note or property according to the plan you presented.
Frequently Asked Questions
How do I raise money to buy mortgage notes?
The quickest way is to create an SPV, prepare a concise pitch deck, and reach out to accredited investors who specialize in note-backed debt.
What legal structure is best for note investing?
An LLC or corporation used as a special purpose vehicle provides liability protection and clear ownership for investors.
Can I invest in US mortgage notes as a Canadian?
Yes, Canadian investors can purchase US notes, but they should work with a cross-border legal advisor to handle tax and regulatory considerations.
How much capital is needed for a $1 million note portfolio?
Typically $500k-$1M of equity is raised, with the remainder funded through senior or mezzanine debt.
Where can I find investors for note deals?
Investor introductions are available through platforms like Raises.com, which have facilitated over $300M in capital across documented case studies.
Next Steps
Ready to structure your raise? Learn how it works and book a call with our team to get your SPV, pitch deck, and investor outreach started today.