Sub2's illegal in TX

[$Cash$]

RentToOwn-MN.com,

Glad to meet you.

You are aware that Minnesota is the headquarters for the National DOS Police, next time you are in Bemidji, check for the people in trench coats hanging out at the recorders office.

John $Cash$ Locke

[RentToOwn-MN.com]

I'm not scared. I'll go to Bemidji, pull their trenchcoats over their heads, and kick their butts all the way out of town. They won't come back.

[xarax]

as i understand it, using a wrap is not leasing with an option to buy, nor is it CFD becuz the title conveys to the seller upon execution of the sales contract.  the title does not have to be free and clear on a real estate sale.  the bill itself defines it's agenda, as it states: "a purchaser of real property under a contract for deed, executory contract, or other executory conveyance".

so as i read it then, Bobby Buyer cannot buy any property from Sammy Seller unless it's title is free and clear, meaning that the state of Texas will not allow any houses sold in it's state even conventionaly becuz the seller's house has a current mortgage on it.  in essance, they have just halted the residential real estate market in TX.

At closing, the buyer brings in money from somewhere (like a mortgage lender) which pays off and releases the existing mortgage, thus giving clear title to the buyer, who immediately puts a new lien and mortgage on the title. Thus, conventional purchases, even for an encumbered property, always deliver clear title (and usually re-encumber the property).

[davejboyle]

were you able to get the info on how to do a wrap around and trust so we can get around the lease option law.
David in EL Paso

[David A. Hurlbrink]

El Paso Dave,
  You might try to contact Tony DiCorpo off line. He's a fellow Texan and has one way to get 'er done.
Regards,
Albuquerque Dave

[TonyDiCorpo]

i advised him to read up on it on here and other forums, as it is a complex issue.

[publishwiz]

Hi guys, happy to be on board. I am about to do a L/O in texas. its supposed to be a no can do? you guys have mentioned trust? to get around the new law. can someone explain that to me? where do I get a trust? and how should it be created? does that cost very much?. thanks for any info you can provide. Im a complete newbe

[$Cash$]

 

[kdhastedt]

Did you draw a blank, John?

LOL...

Keith

[$Cash$]

Keith,

Just thought it was humorus, one post, dozens of posts on the subject, about to do a L/0 and now asks how to do it to get around the law.

However, I am sure someone will explain it to this new person.

John $Cash$ Locke

[David A. Hurlbrink]

Nope,
  Ain't touching it with a 10 foot pole.... publishwiz, there's ton of posts regarding that subject, simply do a search and you'll have several hours of reading material...You'll see several differing viewpoints from some very knowledgeable folks.
Regards,
Dave