How Do I Find Sellers Who Will Accept a Subject-To Deal?
Finding sellers who will consider a Subject-To deal is not difficult is your know how to look.
The first place to start looking for subject-to candidates is homes that have entered the foreclosure process.
These home owners are extremely motivated to clear up the loan, and to get on with their lives.
In this scenario, you will be taking over the loan and paying all of the back payments on the loan to stop the foreclosure process.
There may also be additional costs involved with stopping the foreclosure process.
The biggest advantage to targeting a home that has entered the foreclosure process is the home owner is not worried about equity in the home.
They are worried about stopping the process and not have to worry about the embarrassment of the foreclosure.
You could be their savior by offering a subject-to deal.
In any subject-to deal, I highly recommend you pay to have a title investigation done, to uncover any secondary mortgages, or liens on the property.
This is doubly true when you are working with a property that has started into the foreclosure process.
The second homes I like to look at are ones that have been on the market a long time, especially "For Sale by Owner" homes.
If the home is currently vacant, that increases my interest dramatically.
Many times the vacant home indicates the owner has moved on to their new home, and may be paying for two mortgages.
I've known many people who started working a second job after buying their new home, because they could not sell their other home.
A subject-to deal is going to be very appealing to them.
They are ready to quit making monthly payments for two homes.
Watching for homes that suddenly go on sale when companies announce they are moving headquarters, or shortly after a big layoff, are my next group of homes I'd target to find motivated home sellers.
If they have an urgent need to move, or to quit making a mortgage payment, the idea of accepting a subject-to deal to eliminate their monthly payments will sound great.
You can also find great opportunities by advertising that you buy properties.
Placing an ad in the newspaper, on street side signs, and on bulletin boards around your community will have your phone ringing with motivated sellers.
And since I mentioned motivated sellers, watch the classified ads in your newspaper for "motivated sellers" and "owner financing available".
These could easily be great opportunities for you to use the leverage of a subject-to deal to expand your real estate investment portfolio.
In all of these opportunities, your greatest challenge may be in educating the seller.
Most of them will never heard the term "Subject-To".
Make sure you are prepared to explain to them their benefits, and the process involved with a subject-to deal, and you'll make many successful deals.
Now, get out their and make some subject-to magic, those home sellers need your help today!
The first place to start looking for subject-to candidates is homes that have entered the foreclosure process.
These home owners are extremely motivated to clear up the loan, and to get on with their lives.
In this scenario, you will be taking over the loan and paying all of the back payments on the loan to stop the foreclosure process.
There may also be additional costs involved with stopping the foreclosure process.
The biggest advantage to targeting a home that has entered the foreclosure process is the home owner is not worried about equity in the home.
They are worried about stopping the process and not have to worry about the embarrassment of the foreclosure.
You could be their savior by offering a subject-to deal.
In any subject-to deal, I highly recommend you pay to have a title investigation done, to uncover any secondary mortgages, or liens on the property.
This is doubly true when you are working with a property that has started into the foreclosure process.
The second homes I like to look at are ones that have been on the market a long time, especially "For Sale by Owner" homes.
If the home is currently vacant, that increases my interest dramatically.
Many times the vacant home indicates the owner has moved on to their new home, and may be paying for two mortgages.
I've known many people who started working a second job after buying their new home, because they could not sell their other home.
A subject-to deal is going to be very appealing to them.
They are ready to quit making monthly payments for two homes.
Watching for homes that suddenly go on sale when companies announce they are moving headquarters, or shortly after a big layoff, are my next group of homes I'd target to find motivated home sellers.
If they have an urgent need to move, or to quit making a mortgage payment, the idea of accepting a subject-to deal to eliminate their monthly payments will sound great.
You can also find great opportunities by advertising that you buy properties.
Placing an ad in the newspaper, on street side signs, and on bulletin boards around your community will have your phone ringing with motivated sellers.
And since I mentioned motivated sellers, watch the classified ads in your newspaper for "motivated sellers" and "owner financing available".
These could easily be great opportunities for you to use the leverage of a subject-to deal to expand your real estate investment portfolio.
In all of these opportunities, your greatest challenge may be in educating the seller.
Most of them will never heard the term "Subject-To".
Make sure you are prepared to explain to them their benefits, and the process involved with a subject-to deal, and you'll make many successful deals.
Now, get out their and make some subject-to magic, those home sellers need your help today!