Subject 2 Documents Needed...

Comments(8)

• 
  Rogue7th December, 2003

  At the risk of being harsh (I certainly do not intend to be), if you are unsure of the documents, then you probably need more training. You should also have a good understanding of your state's foreclosure laws as well.
  
  I don't think anybody would like to see anyone jump in to this line of work before they are truly prepared. It is a sure fire receipe for disaster.
  
  Locke, Legrand, Bronchick, Tingle, etc. all offer courses on Subject to investing most if not all have forms as well.
  
  
  [ Edited by Rogue on Date 12/07/2003 ]

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  millionaireinthemaking7th December, 2003

  I appreciate your response...I wanted to know if there were any other particular docs needed other than the PC, WD, POA and LO...since this is my first potential sub2 deal...I don't care if I have them sign all docs...at least I will cover myself and not have to go back later and tell them, "oh I'm sorry but there's another doc you have to sign", and possibly lose the deal!

• 
  MrMike7th December, 2003

  I am not sure how you are going to be 'covering' yourself even if you have them sign a hundred documents if they aren't the correct ones.
  
  Are you aware that the documents may very well differ depending upon what state you are in and even POSSIBLY by which county?
  
  BTW any reason you chose a property which is in preforeclosure to do a Sub 2 deal?
  
  Mike

• 
  Rogue7th December, 2003

  Well...I see I forgot an important word in my parenthetical above. It should have initially read: "I certainly do not intend to be" (harsh, that is). I corrected it above.
  
  On to your question:
  
  Other forms you may need are:
  
  Limited Power of Atty
  
  Authorization to release loan info
  
  any "CYA" disclosures you want to employ (a common one is DOS disclosure)
  
  escrow or loan servicing company instructions (if such company is used)
  
  Insurance company letter
  
  Mortgage company letter
  
  Quitclaim deed
  
  promissory note (if anyone is taking carring back financing).
  
  Land Trust & trustee agreement
  assignment of beneficial interest in land trust
  
  and so on....
  
  It basically boils down to how you are structuring the deal.[ Edited by Rogue on Date 12/07/2003 ]

• 
  millionaireinthemaking7th December, 2003

  I'm sorry...this is preforeclosure deal where I am trying to do a shortsale....I've actually been on the computer for quite a while and have been reading up on sub2's and I think I'm confusing myself...I need to step a way and get some coffee.
  And in reply to the question about realizing that documents may vary in each state/county...Yes, I am aware.

• 
  millionaireinthemaking7th December, 2003

  Hi Rogue,
  Forgive me, I'm still learning...Where can I get an example of the Insurance company letter and mortgage company letter....Thanks for not being harsh:(

• 
  millionaireinthemaking7th December, 2003

  I'm going to get this thing called REI ...ie, get -ting past the beginners stage...

• 
  millionaireinthemaking8th December, 2003

  Hey MrMike~
  I'm coherent now..Now getting back to your question, "BTW any reason you chose a property which is in preforeclosure to do a Sub 2 deal?"
  Mike
  
  The reason for doing a sub2 deal in a preforeclosure is to pay the arrears and not get a new loan...Keeping the existing loan in the homeowners name and doing a lease option...
  The homeowner is gainfully employed. I've reviewed there finances and VOE. This will be a win/win/win situation for the homeowner/me/investor!!!