If you're ready to sell your seller-financed land note in Texas, one of the first decisions is: work with a note broker or sell directly to a buyer?
Many sellers default to brokers because they're familiar — but in today's market, direct buyers often provide higher net proceeds, faster closings, and a simpler process.
At Longhorn Money Services, we're a direct buyer with over 42 years purchasing Texas notes using our own capital. This in-depth 2026 comparison breaks down the differences, real numbers, pros/cons, and helps you decide what's best for your situation.
For the full selling overview, see our complete guide to selling your land note in Texas.
What Is a Note Broker?
A broker is a middleman — they take your note details, shop them to multiple buyers/investors, and earn a commission (typically 3-10% of sale price) when it sells.
- Pros: Access to many buyers, market knowledge.
- Cons: Commission reduces your proceeds, extra communication layer, longer timeline.
What Is a Direct Buyer?
A direct buyer purchases your note with their own funds (or dedicated investor pool). No middleman — you deal straight with the decision-maker.
- Pros: Higher net offers (no commission), faster closing, transparent pricing.
- Cons: Fewer quotes to compare (though experienced direct buyers are competitive).
We are a direct buyer — when we quote, that's what you get, no hidden fees.
Side-by-Side Comparison: Direct Buyer vs Broker
| Factor | Direct Buyer | Broker |
|---|---|---|
| Pricing/Net Proceeds | Higher (no commission) | Lower (broker fee deducted) |
| Timeline | 2-4 weeks | 6-12 weeks |
| Fees to Seller | None | 3-10% commission |
| Number of Quotes | One (but competitive) | Multiple (but shared with fee) |
| Communication | Direct with buyer | Through broker |
| Closing Certainty | High (we close what we quote) | Lower (depends on finding buyer) |
| Partial Sales | Flexible | Limited (fewer buyers interested) |
How Broker Fees Affect Your Net Proceeds
Example: $150K remaining note.
- Market value: $110K
- Direct buyer offer: $110K (you get full amount)
- Broker: Finds same $110K buyer but charges 7% ($7.7K) → you net $102.3K
That's $7.7K less in your pocket for the same note. Related: understanding discounts.
Timeline Differences in 2026
Direct: 2-4 weeks average.
Broker: Extra time shopping note + coordinating multiple parties → often doubles timeline.
When a Broker Might Make Sense
- Complex or non-performing notes (brokers have wider networks).
- You want multiple quotes without effort.
- First-time seller unsure of market value.
Even then, many direct buyers (like us) handle complex notes.
When Direct Buyer Is Clearly Better
- Performing notes with good seasoning.
- Need speed (urgent cash needs).
- Maximizing net proceeds.
- Partial sales (see partial vs full).
- Prefer simple, transparent process.
Common Myths About Direct Buyers
- Myth: "Direct buyers lowball" → We compete on price daily; no commission means more for you.
- Myth: "Brokers always get higher offers" → The buyer pool is similar; broker just takes cut.
- Myth: "Direct buyers are risky" → Established buyers like Longhorn (since 1983) close reliably.
Questions to Ask Any Buyer or Broker
- Are you a direct buyer or broker?
- What fees do I pay?
- How long from offer to funding?
- Do you buy partials?
- Texas experience?
Requires clean documents either way.
Why Sellers Choose Longhorn Money Services as Direct Buyer
- 42+ years buying Texas notes exclusively.
- Own capital — no investor approval delays.
- No fees, no commissions.
- 24-hour quotes.
- Flexible full or partial purchases.
- Sandy Henderson reviews every file personally.
Frequently Asked Questions
Do brokers really get higher offers?
Not usually — they find the same buyers but take a commission, reducing your net.
How much do brokers charge?
Typically 3-10% of sale price — $3K-$15K on a $150K note.
Are direct buyers faster?
Yes — no shopping around, direct closing.
Can I use both?
Possible, but most choose one path.
Do direct buyers handle partial sales?
Yes — often more flexibly than brokered deals.
What if my note is non-performing?
Direct buyers like us often purchase them; brokers may struggle to place.
Is tax treatment different?
No — same tax rules apply regardless of buyer type.
Ready to see what a direct buyer can offer? Call Sandy at (210) 828-3573 or submit your note details — no fees, no obligation, just a fair quote.