My first Subject To transaction

[Tai DeSa]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $119,300
Cash invested: $15,000
Sale price: $164,697

This was my first Subject To transaction. I sent direct mail to people facing foreclosure. The seller agreed to let me take over mortgage payments, and I brought the mortgage current. The deed was transferred to my name. I invested $15,000 into renovations and sold it for a modest profit.

How did you find this deal and how did you negotiate it?

I sent direct mail to people facing foreclosure.

How did you finance this deal?

I took over the seller's mortgage payments. I paid money to make his mortgage current. He transferred the deed to me.

How did you add value to the deal?

I invested $15,000 into renovations. I made the house appealing.

What was the outcome?

I sold the house for a modest profit.