Subject To Investing
Acquiring real estate “Subject To” is an investment strategy that allows investors to acquire a property with little or no money out of pocket by leaving the seller’s existing mortgage in place. More simply, the investor does not have to get a loan through a bank or hard money lender to buy the property because they have purchased the property “subject to” the existing loan or loans. Put another way, “subject to” is a way to control a property by having the seller of that property continue to hold their bank financing in their name, but give the interest, benefits, and responsibility of the property to the investor. Because the seller’s name remains on the loan they will still remain liable for the payments if they were not made by the buyer.
Subject To Investing | Common Questions
How will selling subject to affect the seller’s credit?