"Subject To" Real Estate Investing is Slimy. Prove me Wrong.

[James Wise]

"Subject To" Real Estate Investing is as Slimy as it gets. There are ZERO situations where it makes any sense for a seller to sell their property in a "Subject To" deal. The only times these deals happen is when some slick talker straight out of a guru seminar convinces an uneducated seller to get rid of their only asset "The House", while sticking them with the liability "The Mortgage".

Prove me wrong. 

[Michael Thompson]

@James Wise - Here was a situation I used it.

I approached a couple that was 20 days away from the sheriff sale. They were 28k in arrears to the mortgage company. They also needed around 28k in repairs on the home. The wife was fighting to get disability approved and needed more time before they moved out. I brought the mortgage current and bought the home subject to. I gave her an extra 90 days to stay which was honestly stupid on my part but hey she was disabled.

It benefited me because I didn’t have to use hard money for the balance of the principal and now I had a 3.75% interest rate to flip a home. It benefited the seller because they got to stay longer, avoided foreclosure, and it helped their credit because of on time payments.