Sub-To to BRRRR

[Leslie Beia]

Morning! A great house came on the MLS yesterday, exactly what I've been looking for for a long-term buy and hold. I knew there was a catch because of the price- turns out the owner has tenants in place another year who are paying well under market rent. I imagine it might be difficult to find an investor willing to lose money for a year, so if I get an opportunity to offer an alternative scenario to the seller, I am thinking that a Subject To would work well to acquire the house, then I could refi into a mortgage after a year. Few questions:

A sub-to would kind of take the real estate professional out of the game, how do I deal with them?

I’m assuming the seller needs cash, so how does a cash down payment typically play into a sub to transaction?

Are conventional and commercial refi’s both an option? I’m not sure exactly what my preference will be in a year, be nice to know if there are any hiccups I should expect with either. 

Anything else? Tips to sweeten the deal, to communicate, the strategize?

It is a phenomenal house and I’d love to figure out a creative way to obtain it!

PS I’m going to see it today so do I present this idea to the realtor or try to get direct to the seller??