How to do "Subject to" deals

Question

Hello, can anyone recommend a good website or book to learn about "subject to" deals?  Also, does anyone have subject to contract for Colorado?  Thank you!

Jay Hinrichs · Answer

LOL when I bought sub to in the years 2002 till 2007  the market was robust I would only buy market value MINUS 20k or more NOT PLUS any fool can do that  talk about a losing strategy if the market does not continue to sky rocket.. I only bought deals with equity day one period full stop..  plus i have no doubt these guys gloss over the liablity and what can happen when the crap hits the fan.

Robins Dorvil · Answer

I'm actually in Pace Morby's course and It's worth every penny. You'll actually learn a lot more than subject to be honest. For example, Since I've been in I've learned about Subject to, Wholesale, BRRR, SRRR, Novation Agreement, Advanced Tax strategies, Proper Anonymity business set ups, sales training and more.... The value keeps coming and it's a lifetime membership.

William Moya · Answer

@Brandi Vigil

Hi, I have done a lot of subject to deals. I haven't done any lately but they are a great too to capture business that many other investors who are only focused on one strategy for example  (Wholesaling or flipping)

This strategy give is the opportunity to help more people by allow us to pay more for a house and getting  really creative on who we structure the deals.

No bank needed, no credit needed. You will need some short term funds for either giving the seller money to move or part of the equity.

It can have multiple paydays like a spread in the down payment,  spread in the monthly payment  and recapture of the equity when they refinance or sell the property and buy you out.

But as with any strategy there are some traps if you are not careful.

Ine example is one I overlooked which I can see being an issue these days with all of the forbearance's be done these days.

How I learned what a forbearance was...was when I took over a property and started the rehab before getting the lender's payoff in hand. To find out the payoff letter had a forbearance amount added to the payroll.  It was not on the Mortgage statement. And of course they didn't mention anything about a forbearance which in my case was $14,500. Luckily I bought the home with a large enough spread, but my net was $14,500 less that anticipated.

That was a $14,500 seminar lol. I hope this help our community and be sure to be on the look out for this moving forward.

But I love the strategy.

Best of luck!.

Will Moya

Michael Thompson · Answer

@Brandi Vigil Pace Morby or Grant Kemp are who I recommend for subject to knowledge.

Wendy Patton · Answer

Thank you, David!

Yes, my book would be a great place to start. Let me know how I can help you.

David M. · Answer

@Brandi Vigil

Investing in Real Estate with Lease Options and "Subject to Deals" by Wendy Patton

Good luck.

Winston Covington · Answer

Hi Brandi, keep us posted as I’m sure that there are lots of Bigger Pockets members that want to be updated on this subject. Thanks.

Wendy Patton · Answer

@Brandi Vigil

The full book with Subject-To is only on Amazon now, but the Lease Options portion is available on my website -

wendypatton.com

Brandi Vigil · Answer

@Wendy Patton

Thank you, yes, can I buy direct from you?  The only place I have found it is Amazon.

Brandi Vigil · Answer

Thank you for the tips everyone.  I will check out the book and will definitely be finding a knowledgeable attorney who can handle the transaction.

How to do "Subject to" deals

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