Selling A Sub-To Realestate Business

I have an established sub-to business I need to sale. I am welcome to any Ideas on the best way to sale. 7 houses still in the business. I want to sale the business as a whole and not piece it out. Its in middle Tennessee.



Sire

[ Edited by sire on Date 06/07/2008 ]

Comments(8)

  • sire8th June, 2008

    I am selling the business and all the houses as a group. I was told if it is sold as a bulk/business when it come to closing the houses the future buyer would have no problem due to the fact that they are in the business name. These are subject to houses so all the paperwork is set in the business name. Now it can be transfered but if I am needing out, I was told to sell the entire business as a whole.
    Did that answer the question.
    Sire

  • sire8th June, 2008

    Yes it is the sell of equity, but this is not Jacksonville FL. Thought our market in Middle TN has been affected it is only to the average of 3%-5% drop. This is an easy way for a little investment to buy a package of homes with out having to apply and qualify for loans.
    Are you questioning my business equity, valuation or is your glass just half empty. I was just asking for ideas and information, not to debate if sub-to can still work in down market. What ideas do you have to help?
    Sire

  • sire10th June, 2008

    This is why i was told to sell the business as a whole. (which just means a package of 7 houses) because the business is liable for the mortgages. I am in a catch 22. If I sell the easier way (houses seperate) I have 7 different risks, if the business is sold as a whole, basicly 7 houses, I have less risk but less potential buyers. I know I will have to take a large discount. on the business package but a better chance of dealing with someone who know what they are doing and is an establishe investor>
    Sire

  • jfmlv195010th June, 2008

    Maybe you can add this person on as a director or as an officer of the corporation and then sell your shares of the corporation to them after they are listed on the corp.

    This way the corp still owns the houses and the new person owns the corp.

    You will probably need some professional guidance to get the paperwork right within your corporate structure, but it is an idea.

    John (LV)

  • JohnLocke8th May, 2008

    schnibitz,

    What I would suggest is that you read the Forum Rules about duplicate posts and the violation in your post above about asking people to PM you.

    Just a heads up, this board is over 6 years old and has managed very well with the majority of posters following the rules.

    John $Cash$ Locke
    TCI Moderator
    [addsig]

  • finniganps8th May, 2008

    What kind of trust are you referring to and what is the purpose of placing it in a trust?

  • schnibitz8th May, 2008

    Hi there!
    Mainly, I just want to protect my properties, or if need-be transfer ownership through the trust.

    Thank you,
    -S


    Quote:
    On 2008-05-08 19:28, finniganps wrote:
    What kind of trust are you referring to and what is the purpose of placing it in a trust?

  • andw9282nd June, 2008

    Trusts do not protect anything. They are there to confuse the fools only. A good detective or attorney will find the true owner anyway. Trust is a waste of money.

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