Newbie Needing Sub2 Explanation

[AUinvestor]

Hi Fellow Investors,

I'm a newbie who has a general knowledge of wholesaling, but I have no idea what buying properties subject-to means. Would someone please explain it to me the best they can?

Thanks!

[$Cash$]

AUinvestor,

Try this article...

http://www.reiclub.com/articles/sub2-beginner-investing

John $Cash$ Locke

[Hughes Investments]

Subject to means getting the deed to a piece of property "subject-to" the current owner's existing financing.  Typically, you give the owner some "moving money" for the the equity the owner has established, you put the deed into a trust you control, and the trust starts making the same payments the previous owner was making. 

[AUinvestor]

Very interesting!

Thanks so much for the reply's. I feel there is so much to learn with RE investing, but the possibilities are endless.

[Real Estate Seller]

Remember on sub2 you need to disclosed to the seller that the lender can call the note due if the seller deed the property to you without the banks approval.