I saw a video a real estate video, and they were speaking on negotiating a discount on a subject 2 property with the bank.im confused about something. ok, lets say you do a subject to on a pre foreclosure, and get the deed. where im confused is, normally, in a subject to, you just take over the payments and pay the remaining loan balance. in the video, they say you can negotiate a discounted payoff. are they saying that the discounted payoff is negotiated DURING the preforeclosure, as soon as you get the deed, etc. or is it part of the EXIT strategy?

They are not even cousins.The IRS isn't in charge of assessing financed transactions except as to tax matters, your CPA probably isn't versed in originating financing agreements, that's a bit out of the domain for a CPA and the Federal Tax Court isn't the proper jurisdiction for RE transactions except as they pertain to taxation.They were also speaking to what not to exceed, not what the customary or average credit was being allowed under options, 10% of "firm" equity places a buyer/borrower over the hump for the financing required, most contracts shoot for 10% equity to be acquired.Dodd Frank incorporates the SAFE Act by specific reference.

Most of my work is with pre-probate, probate, trust-owned and defective title property in California.

My parents gave us the down payment as a wedding present.

Refinishing works great for real hardwood floors, but not so well with other woods, especially if they are pre-finished.

You may want to consider adding that to future leases and/or incorporating it into your current lease via an addendum.

I do believe I will soon be trying to contact some people that might be in pre-foreclosure in the surrounding area.

When we renew the mortgage we have been using a combined traditional mortgage and equity-backed line of credit, so, while we have pre-payed mortgage principal from our cash-flow, we still have access to a portion of the equity in the property.  

That being said, we now have 2 pre-teen boys and things are getting tight and it is time for us to move on but it was good financially and for a learning perspective while it lasted.

Where have you found is the best place to get pre-foreclosure leads to mail?