Companion files · The Mortgage Note Investor
Note investing by the numbers: how to price, buy and work out performing and non-performing real estate notes.
These are the companion files of The Mortgage Note Investor by Julian R. Sterling.The book on Amazon →
The two Excel workbooks that reproduce every figure in the book, rechecked from scratch and given many more controls. Around them: both models with the inputs emptied, thirteen working documents to print, forty questions that mark themselves, and three cases the book names and never takes to a number. No sign-up, no email address, nothing locked. Amounts are in dollars; every yield and IRR is an annual rate compounded monthly; blue cells are inputs, black cells are formulas.
These carry the book’s own figures, so that every number it prints can be traced to a live formula. Every figure was recomputed outside them in September 2026; none changed.
Part I · Chapters 2 to 5
A performing owner-financed note with a balloon, offered at 92 percent of its balance. The price at any required yield, the yield at the asking price gross and net, what prepayment, the balloon and an extension do to it, the partial, the fixed costs on a small note, and the default overlay of Chapter 5. Revised: the Oriole price now follows your required yield instead of a typed 11 per cent, and the Check sheet tests 32 printed figures, all OK.
Download the workbook118 KBParts II and III · Chapters 6 to 15
A nonpaying first lien in a judicial state, bid from its foreclosure floor month by month, one column per timeline, value and hurdle; the reinstatement, modification and deed-in-lieu paths and the blend; leverage; and an eight-loan pool with two second liens, taken apart loan by loan down to the bid. Revised: the cash at risk of Chapter 15 in every scenario, the back-of-envelope bid and the equivalence between the regimes (a 34.76 per cent fall in value) now have cells of their own, two thresholds and the modification term follow their inputs, and the Check sheet tests 96 printed figures, all OK.
Download the workbook265 KBEight workbooks (the two of the book, their blank twins, the three cases and the question book), the printable documents and the read-me. Every workbook ends on a check sheet; no macros, no circular references, no external links. Each group below can also be downloaded on its own. Last revised 24 September 2026.
Optional. When a workbook on this page is corrected or a new worked case goes up, readers on the list get one email, plus a short note when a new book comes out. The downloads do not need it.
Join the reader listRun by MailerLite, off this site. How your address is used.
| Mesquite Lane | Price at 11 percent net: $126,802.91, 90.71 percent of the balance |
| Harlow Street | Floor at 20 percent, judicial: $69,754.43; non-judicial: $114,834.89 |
| Calloway tape | Pool IRR at the 52 percent ask: 17.66 percent, against a 20 percent hurdle |
Both workbooks with every blue input emptied. The Check sheets count what is still missing and test what holds for any inputs.
Parts I to III · Chapters 2 to 15
The same formulas, every blue cell empty. The axes stay: the yields of the price table, the payoff months, the sale months, the value multipliers and the modification rates. The tape fills loan by loan: an incomplete column stays empty and is left out of the pool, so it works for one loan as well as for eight.
The book’s inputs are listed in a text file inside the archive. Type them back in and the book’s figures come back: $126,802.91 for Mesquite Lane, a floor of $69,754.43 for Harlow Street, $333,499 for the Calloway bid.
Download the blank set157 KBThirteen pages to print and use. A4, with margins wide enough for US Letter.
Chapters 1 to 15 · Appendix C
The listing, read properly: the paper, the lien, the three numbers and the fourth. Pricing a performing note. The speed test, the balloon and the partial. Costs, the minimum ticket and the missing escrow. The default overlay and the protection test. Total debt, the house and four ways out. The timeline, the cost schedule and the thresholds. The floor column and the paths you do not pay for. The modification. The deed in lieu, cash for keys and the REO. Second liens. Reading a tape and bidding it loan by loan. And the checks before you wire the money.
Download the PDF41 KBA workbook that marks itself. Answer in the yellow cells; the marking fills in as you go.
All parts of the book
Seven on performing notes, seven on total debt and time, seven on the floor and the paths, seven on second liens, tapes, diligence and servicing, six on leverage, partners and the model, and six on the three cases below. Numbers are marked to a tolerance, multiple choice to the letter, and the score sheet counts your errors part by part: that is your revision list.
Nothing is hidden. The marking sheet holds every answer, every tolerance, and the reason for each answer.
Download the question book18 KBNew material, not a restatement. Three situations the chapters name and never take to a number. Each case is one workbook: the note is the first sheet, the model is the rest, and a checks sheet closes it. Type your own figures in and every finding recomputes.
Chapter 4 · Case one
The chapter says every investor has a minimum ticket and declines to give one. On the book’s costs, a note on Oriole Court’s terms offered at 90 per cent of its balance earns 11 per cent net only from $50,157, 1.59 times Oriole’s size; above 96.60 per cent of UPB no size works. Cheaper costs (ADDED) bring it to $34,448. Buying Oriole at the ask to learn the trade costs $1,231 of value on the day you close.
Chapter 9 · Case two
The rate that takes the whole $1,050 budget adds $8,517 to the modification “only if the thinner margin does not raise the chance that the payments stop”. With a re-default after six payments (ADDED) the path is worth $50,242. The extra rate is worth it only if it adds less than 16.3 points of re-default risk, and a resale buyer who asks one point more for the missing margin takes all of it back: $93,830 against $94,487.
Chapter 15 · Case three
Harlow Street at the floor, one partner’s money and the other’s work, with a 10 per cent preferred return and a 70/30 split after it (ADDED). The operator earns $12,130 on time, $6,277 twelve months late and nothing at twenty-four, where the deal earns 9.91 per cent, below the preferred return. On a deed in lieu at month 14 the same operator earns $22,396: the agreement has to say who chooses the path.
Download the three cases65 KB| Rates | every yield and IRR is an annual rate compounded monthly, twelve times the monthly rate, the basis of a note rate |
| Timing | cash flows at month-ends; month 0 is the day the purchase closes |
| Blue cells | the inputs; every other number is a formula |
| Check sheet | the last word of every workbook: each control states its own verdict, and the file ends ALL OK |
| ADDED | a figure the book does not give, used in the cases and marked wherever it appears |
Discover more of Julian R. Sterling's practical library of models, checklists and worked cases.
Browse Julian R. Sterling's books Browse all companion files Read the related analysis| 24 Sep 2026 | Every figure the book prints recomputed independently: none was wrong. Three formulas that ignored their inputs corrected (Oriole’s typed 11 per cent, the tape’s typed 52 per cent, the typed 480-month term); cells added for the cash at risk of Chapter 15, the back-of-envelope bid and the equivalence between the regimes; checks raised from 18 to 32 and from 26 to 96, all OK. Added: a blank set, thirteen working documents, forty questions that mark themselves, and three cases. |
If this book helped — or didn’t — a few lines on Amazon are worth more than they look: they are what the next reader goes on. Write a review. The workbook stays free either way.