Let’s Get Subject Too-ed....

[Patricia Creswell]

Recently PEAK Legacy has been getting a lot of request for Subject To’s from our Investors. They love them! I’m interested in know what your experience has been with this creative strategy to get homeowners to the promise land. It actually sound like a Modern-Day Assumption Loan If you ask me, minus the bank. Chime in folks...

[Barry Pekin]

I just joined a local group where they apparently do this a lot, so I asked a few questions.
First, they seem to get them not by searching, but by asking their sellers.  Under the right circumstances, some people jump at the opportunity.
I also asked about the due on sale clause.  I think just about every loan these days has a clause saying that the loan must be paid off when the property is sold, and I wanted to know how they handle this.  Their answer was that while the bank could call the loan due, they have never experienced it, and they've been doing this for years.  Basically the bank is just happy the loan is being paid.  
My wholesaling teacher chooses not to hold onto these loans for long term. 
Just hearing about this so much lately has me thinking it's definitely worth pursuing.