REALTORS & SUB-2 S

[real estate 001]

HEY

Any one else running across this little deal  ?

i have had in the last few days  over 10 realtors tell me  that a sub-2  deal is e-legal  as well  would never be allowed by any bank

Nor  would any seller ever  sell  this way as this would be  the buyer stealling there property

Any sub- 2 pros here  have  a naswer to this ?

Are sub-2 s  still being done  if  so   how do you find the sellers ?

What if any new paperwork is needed  to get these  deals done ?


I would like some in put on this  soon as i am haveing a hard time  with this  being called a theif  by some  realtors

[motiv8td]

I can assure you they just simply don't know what they're talking about. Most and I emphasize most realtors have no clue to life outside of what they're were trained or brainwashed by their brokers.

Next time a realtor tells you that, ask him to explain lines 203/503 on the HUD1 form. Chances are they have no clue. An agent friend of mine forwarded me the section in the Realtor training manual where it mentions sub2's and he said they covered it as quickly as you can read the short paragraph.

There is also a good chance you're not explaining it correctly when asked by a Realtor. They could be responding that way due to your explanation of it. When in doubt, they'll pull the 'It's illegal' card.

[herbster]

Hey, I just said the same thing and your post pushed mine out. First time I had that happen. Good post. Herbster

[real estate 001]

HEY HEY

Thank you for the post  and could you tell me how you would tell a realtor  or seller  about  what sub-2 is 

As you could be right iam not telling it right  or something

I would think there  would be alot of people  wantting  and willing to do  sub-2 s  right now


Do you have any special contracts  you use ?

Could you send me   copies of  what you use in a  sub- 2 deal ?

[MichaelQuarles]

You most definitely need a contract that expresses the terms of a Sub 2 purchase and consequences of default by the buyer.  As for an explanation of what one is... That took me about 250 pages in a course I wrote a couple years ago...

To bring it down to size... The easiest explanation is.... "Its how I buy Houses" That means that the existing loan will stay on
the house. I will begin paying the monthly payment and making up any back payments and pay you your equity. (NOT) It is not a formal
assumption. It’s the fastest and most economical way to get you your money and your house sold.

I have all of the objection handlers that youll need....

[real estate 001]

HEY HEY MIKE

Can you tell me more about your course ?

What it comes with  for the price

[MichaelQuarles]

I cant really... Reiclub frowns on that kinda thing...

[tatertot]

For all I know, it might be illegal in your state. State laws vary.

I can see how a real estate agent might not want to get involved. They have fiscal responsibility, and in a subject-to the bank can call the loan due.

Americans can be such whiners that when things don't go their way, they never think it is their own fault. Instead, they sue.

So the agent puts together a subject to, the bank calls the loan, and there is a good chance the buyer will sue the agent because the agent should have protected them better.

Not that I think anyone here would sue their agent for something that was their own fault, but there are a lot of amatuers out there who think the world owes them a living. Plus, the guru they bought the course from told them that the world owes them a living.

[real estate 001]

YES

I belive  a lot of people  in this time   in our  country  belive some one any one  owes them

As it is just the way it is    and any kind of a helpping hand is looked at very  ify   why

With the   why are you doing this  what is your angle ?


As well i belive if a realtor is not of the full understanding of something  they call it  scam /illegal

They really do not belive in the  saying there is more then  one way to do something

I think they think there is only there  way /the way they  were told in  realtor school

Just look how long it has taken   realtors to come around to short sales  and there are still ones i have talked to that  say  it is just a way to rip a bank off

 Any way  any and all help and posttings on this subject  have been most  welcome

As well any more    would be the same

Any one tell me how they have  explained the sub-2 to a realtor /seller ?

 What has been the  most    sub - 2 wahy your deals have gone ?

By this  iam saying has it been more   pre- foreclosures     or  what ?

[MichaelQuarles]

As a broker out here in California I can say Agents dont understand Sub 2 deals although until a few years ago it was a check box on our standard purchase agreement...

I have done hundreds of Sub 2 and never have been sued as an investor or as an agent because of one.  Keeping in mind anyone can sue anyone... So the real issue is what are you using to protect your interest?  I devote an entire page explaining in BOLD type what happens if the deal goes bad.. Either because of payment default or DOSC.

A good contract keeps you in the drivers seat... A bad one lowers your checking account

[real estate 001]

MIKE

i like that   it is all about the contract  with the seller !

If you make the seller and yourself  all warm and fuzzy then it is all good

because in the making yourself all warm and fuzzy  you make sure your backside  is covered  all the way

Was wondering how much out of pocket have you had to  give on a sub-2 deal ?

[MichaelQuarles]

well over 100k 

[real estate 001]

MIKE

What was the money  for ?

What is the smallest amount you have had to take out of your pocket ?

I thought there was little to no money out of the buyers pocket on a sub-2 deal ?

As well how have you found most of your sub -2 deals ?

[MichaelQuarles]

The seller paid me

[real estate 001]

WOW   I would like to know how that was done !!!

Where do you find most of your sub -2 deals ?

Are they in the pre-foreclosures   as there  are so many of them right now