Foreclosure and Subject to

[Felix Contreras]

I have recently started to look at options with subject to and mainly focusing on foreclosure in the area of Greensboro. I am new to this method and have only ever used traditional finance that includes Va and conventional loans. If someone here has experience with subject to pros and cons and could provide some insight it would be highly appreciated. I would also like to see if anyone here has any recommendations on where to find the owners number. I have the county record with the name of the owner but no number. Currently I reside in Ohio and will be moving to NC, focusing on investing in the Greensboro area.

[Marty Boardman]

Quote from @Account Closed:

Quote from @Marc Rice:

Quote from @Felix Contreras:

I have recently started to look at options with subject to and mainly focusing on foreclosure in the area of Greensboro. I am new to this method and have only ever used traditional finance that includes Va and conventional loans. If someone here has experience with subject to pros and cons and could provide some insight it would be highly appreciated. I would also like to see if anyone here has any recommendations on where to find the owners number. I have the county record with the name of the owner but no number. Currently I reside in Ohio and will be moving to NC, focusing on investing in the Greensboro area.

 Pace Morby has some good content on subject to's. They can be a great way to get into the game with low money down.

I'm not sure he covers the legal pitfalls that could land someone in jail.

The subject of concern is: "considering subject to on an active foreclosure."

I'm curious, do you know of an investor/s that have gone to jail for doing subject-to deals with homeowners in foreclosure? Most deeds of trust/mortgages have a "due-on sale clause" that states if title is transferred they can "call the note". But this doesn't trigger any sort of legal action against either party in the transaction. There is no "due-on sale jail". If the lender accelerates the new owner has to pay off the loan or lose the property. But if the payments are made on time it's hard to believe a bank would call a note that's performing.