Need Help In Using Subject To Technique
Hello,
I am a newbie and is currently working on my first sub2 deals. There are properties in Las Vegas that I would like to get using this technique. The first sub2 deal, I am thinking of refinancing as soon as I get the deed. Does it require seasoning before I can refi? Would my credit score affect my ability to refinance right away? The second one, I will refi at a later date. I have a California LLC and I would like to know if I could use this to acquire Nevada properties. Also, if the property is appraised for $300,000 with a mortgage balance of $170,000, is it possible to refi and get all the equity left which is $130,000? Please help.
Rach
I lost you on the seasoning question. How do you season a subject to? Are you assuming the loan? Subject to means the loan stays in the sellers name. Why would you refi a subject to and throw away all those benefits? If you want to refi and pull out equity to have to look at loan to value ratios and what ratio lenders are willing to go for that type of property and your ownership and credit situation.
Door knocking has its rewards but definitely takes the right approach to ensure there are no confrontations. There are many different ways to approach the homeowner and you need to select the one you are confident with, feels right to you, and the one "you" feel you will have the most success with.
Dave
[addsig]
I suggest that at least at this point in your investing experience, you either hire a real estate attorney or a real estate agent to assist with preparation of the purchase contract.
Nancy
A written offer could be a Purchase & Sales Contract, or it could be just the major points. Ron LeGrand says that he writes down on paper several offers (just the major points) and then ask them to pick one. Then he writes up a contract.
1) offer one. $85 cash. take the house as-is. I pay all closing costs. Close at time of your choice
2) offer two. $95, you repair the roof, split closing costs, close within 60 days.
3) offer three $100, house as-is, split closing costs, seller held financing at 30 year 8%, 5k down.
4) offer four $100, we split the roof repair, Lease option for 18 months, 2k down.
Really not much more detail than this.
Hello. I would appreciate receiving a good purchase contract.
Thanks
Can you send me a copy of the contract that favors the buyer. I am espically looking for verbage that gives me the right to a final inspection, at which time I could back out if I want to. Thanks, Tony