All Forum Posts by: John Cannon

Sorry my last post was slightly off, here is the updated info. Thanks to Jay Hinrichs

you can do sub too on any property.. with any lender.. and any lender private or not has an alienation clause in their debt instrument so they can call the loan if its alienated.

Title company is irrelevant other than faciliting the transaction. And you don't need a title company for Sub too.. I have done hundreds of them and did them all myself.

However in practice lender calling the loans it rarely happens as long as you keep the payments current.

Now I am not a FAN of sub too for most Sellers I think they take huge risks because most buyers of sub too don't really have the wherewithal to cure if the bank calls the loan.

So if you have as a seller deeded your property away and the buyer walks your screwed you don't own it any more so you can't refinance and you have to do a foreclosure to get it back which costs thousands. I know for limited capital investors or limited credit investors its a tool they like.. but its really bad for a seller unless the sellers' credit is already trashed and their is no equity and they were walking anyway.. and its a purchase money 1st were no deficiency judgment could be obtained by the lender

Well that makes sense. Thanks for info Jay. 

I don't know how its not correct. I called around and they all confirmed that it is possible to do subject to deals as long as the bank is not involved. If I am wrong, I am fine with that but I guess that all thise people thag I called were wrong then too. What is the way to go about it? 

Just in case anyone was wanting to know if it is possible to do a subject to or lease option in Oregon, well it is, you have to make sure that it is a smaller entity like a title company or private lender to even think about doing it. The bank will almost 90% of the time trigger the due on sale clause and you end up stuck with the bill. As long as you find a motivavted seller that has gone to a title company or sometjing smaller than a bank you can still do creative deals in Oregon.

Just in case anyone was wanting to know if it is possible to do a subject to or lease option in Oregon, well it is, you have to make sure that it is a smaller entity like a title company or private lender to even think about doing it. The bank will almost 90% of the time trigger the due on sale clause and you end up stuck with the bill. As long as you find a motivavted seller that has gone to a title company or sometjing smaller than a bank you can still do creative deals in Oregon.

Ok since it nearly impossible to get a vank on board with a subject to, what about a private lender? Since thwy don't have the same constraints as a big bank.

That was my suspicion. But I was hoping that you were going to say 'yeah its fair game'. But oh well, I guess that changes my exit strategy on tbis house then. Thanks.

I have a been looking all over and there doesn't seem to be much on this topic. I had a motivated seller contact me about selling their house in Klamath Falls, Oregon . Before I even pursue this, since I live in Northern Nevada, is it possible to do creative deals such as subject to or lease options? Or is it one of states that frowns upon anyone that tries to do these types of investing deals. 

Hello, I am not in Oregon but I have had a motivated seller contact me about selling their house in Klamath Falls. Before I even pursue this, since I live in Northern Nevada, is it possible to do creative deals such as subject to or lease options? Thanks.

Thanks everyone for your input. I'm glad I asked to confirm my feeling of 'this is all bad'. Thanks