Short Sale Or Sub2????

Comments(6)

• 
  TheShortSalePro24th February, 2004

  Acquiring a property "Sub2" means that the Purchaser accepts title subject to the existing mortgage(s), allowing the former Owner to remain 'on the hook' for the mortgage. In a preforeclosure scenario, to avoid foreclosure, the loan(s) must be brought current, or some other suitable arrangements made that would cause the mortgagee to suspend/stop foreclosure proceedings.
  
  To purchase a property via a preforeclosure, mortgagee approved short sale... the Purchaser brings new financing to purchase the property... the proceeds from that sale would be used to payoff the existing mortgage which would have to be discounted to facilitate the proposed transaction.
  
  In a ss transaction, the former homeowner's mortgage loan(s) have been paid, and (hopefully) has no additional liability.

• 
  HoakinProperties24th February, 2004

  Hello,
  
  I too had the same question as the other fellow.
  
  Can you please re-explain what subject-to is without using the word subject to.
  
  Your definition sounded like "Buying a house subject-to is buying it subject -to...."
  That doesn't exaplin much.
  
  From what I'm seeing on these boards I will benefit from John Locke's manual, but I do not want to buy it until I understand what subject-to sales are.
  
  Thanks to anyone who takes the time to bring some clarity to this foggy brained newbie.

• 
  nebulousd24th February, 2004

  Here are a couple of articles
  
  http://www.thecreativeinvestor.com/modules.php?name=News&file=article&sid=146
  
  http://www.thecreativeinvestor.com/modules.php?name=News&file=article&sid=266

• 
  HoakinProperties24th February, 2004

  Thank you, thank you, thank you!
  
  This was as clear as it gets. I really appreciate your timely response, those articles were exactly what I needed to help me understand what sub2 is all about.

• 
  InActive_Account25th February, 2004

  Are there any good articles out there for Short Sales?
  
  THanks

• 
  pktd10721st March, 2004

  Just wanted to say thanks for the
  explanations, I know this is something
  that has been answered over and over again here, but posting a current question is a lot easier than wading thru so many, I mean so many, posts to find the one you need, one that does answer your question.
  
  Again thank you