Need Your Sub2 Input
I find this sub 2 very interestng especially converting it into a wrap. scooping the diffence of interest rate monthy.
selling at ahigher price to a shakey credit (divorce ,lost job 4 years ago but has been working past 2 years, etc..)but is stable now
Reduced closing costs to you (as the sub 2 buyer and wrap lender)
note not in your name
etc...etc...
But my 4 questions are these:
1) to buy a property sub2 you dont just need a desperate seller, you only need a motivated one. Assuming we have a motivated seller with good credit and he wants to know how he can hold you LIABLE for NOT keeping your word, for whatever reason, since the mortgage stays in place. What can you do to give him security?
2) can you get sued for screwing up, or even just getting a 30 or 60 day mark on someones credit or if the bank has to forclose on a lein in "mr. Goodcredits"name because some investor fell on hard times himself?
3) Are these no equity deals really worth doing in hopes of everthing going smoothly to cash in on the back end of a deal. After all you have to have the perfect payer that cant qualify (for conventional financing) to make it work?
4) in conclusion would a motivated seller but not a desperate one, be better off to NEVER sell his property sub2
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B.G. & Wheeler D. LLc Inc.
(A division of: Half Vast Enterprises)
"1) to buy a property sub2 you dont just need a desperate seller, you only need a motivated one. Assuming we have a motivated seller with good credit and he wants to know how he can hold you LIABLE for NOT keeping your word, for whatever reason, since the mortgage stays in place. What can you do to give him security? "
Your word....what do you want to give him? Keep in mind, they are also getting $500 dollars, $1000 dollars...whatever. If they still want something more, find another seller.
2) can you get sued for screwing up, or even just getting a 30 or 60 day mark on someones credit or if the bank has to forclose on a lein in "mr. Goodcredits"name because some investor fell on hard times himself?
You don't Guarantee debt, you can't get sued. You make the payment no matter what...If you fall on hard times, you better find someone to take the property off of your hands.
3) Are these no equity deals really worth doing in hopes of everthing going smoothly to cash in on the back end of a deal. After all you have to have the perfect payer that cant qualify (for conventional financing) to make it work?
I'm not in hopes of anything. When I go into a house I know what I can offer, I know what I can make, and I know I will be able to find a buyer. Remember the 3 profit centers: down payment, monthly cash flow, back end.
4) in conclusion would a motivated seller but not a desperate one, be better off to NEVER sell his property sub2
Your way too worried about things. Find a new seller. Your worrying about things that don't make sense. "be better off to NEVER sell his property sub2?" okay, i guess. What is their motivation to sell? Are you a solution to their problem? Are you giving them what they REALLY want? Better yet, Are you giving them what they REALLY NEED?
You need to understand the psychology of a motivated seller and then your questions will be answered. You forget, or maybe you didn't, these people called you, they have the problem, they need your help, they can't make the payment, they can't afford 2 payments, they lost their job, they need to move, whatever...there are tons of reasons why someone needs to sell, and you are giving them an option, a possible solution. If they have all these objections and are concerned for whatever reason, then you need to find another seller.
"If people like you they'll listen to you, but if they trust you they'll do business with you." --John Locke[ Edited by nebulousd on Date 12/10/2003 ]
Appreciate the time took to respond..
A man who has gold ought to to have a safe to keep it in,or it will mysteriously disappear. Can one really waste investigating the quality of thesafe
[addsig]