Mortgage Note Purchasing Services

for Community Lenders

We offer confidential, custom solutions for servicing and transitioning real estate-backed notes.

If the investment on your note begins to break down, you need someone who grasps the nuances of balance sheet principles, judicial schedules and client relations.

Sterling Run Capital buys mortgage notes from across Central Pennsylvania, using cautious underwriting and reliable service.

Performing Mortgage Notes

The Situation

Sometimes a loan is performing but it’s:
  • Non-core
  • Small balance
  • Legacy
  • Outside current geographic focus
  • Tying up capital unnecessarily

Our Approach

We acquire performing first-lien real estate-backed notes where:
  • Collateral is verified
  • Borrower payment history is stable
  • LTV is reasonable
  • Legal enforceability is clear

We buy to hold, and patiently compound.

The Outcome

  • Immediate liquidity
  • Capital redeployment
  • Clean execution
  • Continued borrower continuity

Select Transitional & Non-Performing Notes

The Situation

Some loans require:
  • Workout negotiation
  • Legal clarity
  • Strategic patience

These assets demand discipline, not aggression.

Our Approach

We underwrite:
  • Collateral value
  • Borrower history
  • Title & lien position
  • Expected legal timeline
  • Carry costs and IRR sensitivity

We pursue cooperative resolutions first and enforce only when necessary. 

The Outcome

  • Predictable resolution
  • Reduced administrative burden
  • Protection of institutional reputation

A Process that is Clear and Straightfoward

A Simple, Professional 3-Step Process
Sterling Run share

SHARE THE SITUATION

Either give us information about your loan or a mini-tape to evaluate.

Sterling Run evaluation

We Underwrite Carefully

We assess documentation, collateral, borrower performance and risk timeline.

Sterling Run close cleanly

CLOSE CLEANLY

If there is a match, we move on cleanly, ensuring continuity with the borrower.

No committee approvals needed. No last minute haggles on price. No reputational risks.
 

Our Underwriting Discipline

How we're different:

We generate yield at acquisition, not with speculation.

Sterling Run taupe shield logo

What Makes Us Different

Long Term Holders, Not Traders

Sterling Run buys to steward notes over time.

We are not:
  • Brokers
  • Assignment intermediaries
  • Volume-driven aggregators

Once we commit, we close.

Respect for Borrowers & Communities

We understand:

Behind every note is a real person.

We prefer:
  • Cooperative workouts
  • Structured solutions
  • Professional communication

Escalation is a last resort.

Lean, Direct Execution

  • No institutional committee drag
  • No payroll bloat
  • Outsourced specialists where needed
  • Founder-level decision-making

You deal directly with the decision-maker.

Who This Service Is For

  • Community banks
  • Credit unions
  • Regional portfolio managers
  • Real estate and bankruptcy attorneys
  • Select private investors

If you need a secondary liquidity outlet for real estate-backed notes, Sterling Run exists for that purpose.

Five Things Every Note Holder Needs to Know

Before selling a note, ensure you understand:

  • The difference between owning paper and owning property
  • How legal timelines affect yield
  • Why purchase discipline determines return

Download:
“Five Things Every Note Holder Needs to Know.”

Discreet Balance Sheet Solutions Start With a Conversation.

If there are loans that no longer align with your strategy, whether performing, legacy, or transitional, we welcome the opportunity to review them and provide a clean, dependable exit.