– Mortgage or Deed of Trust
Mortgage or Deed of Trust A mortgage or a deed of trust is a security device. It depends on the state that you’re in. 4 pages pdf
– Use Payment Servicer
Use Payment Servicer My payment servicer is someone that takes a payment, and then pays others with that payment. When we do seller financing, we’re going to take the payment from the person in the property and then make sure that the mortgage payment and the taxes and insurance are paid and then any balance […]
– Due on Sale – What is it?
Due on sale clause There’s a due on sale clause in a mortgage, A lot of people think it means that the lender is going to foreclose if you don’t do the right things. The lender is going to call the loan due and payable. What it means is the lender has the right to […]
— There is No Due on Sale Jail
“There is no due on sale jail”, this means that if you do a subject to or wrap around mortgage and do not tell the bank, it’s a civil matter, and the bank can call the loan due and payable. We use Land Trusts to be able to do subject to existing financing transactions and […]
Land Contract – Contract For Deed
Land Contract or Contract for Deed Buying or selling on a land contract or contract for deed This means that you put some money down, you get possession, you get Equitable Title but not legal title like a warranty deed, then you make payments over time with generally a balloon payment in the future. It […]
– Like a Car Loan
Like Car Loan A land contract, contract for deed, agreement for deed, these are contracts that are like a car loan. When you buy a car you put money down, you make the payments, then you get the title when you finish the loan. So these contracts are similar, you put money down, you make […]
– Not Liable for Loan
Not liable for a loan means don’t sign a personal guarantee, and don’t cosign for anyone. Personal guarantees are nicknamed “PGs”.
– Sub to the existing financing
Subject-To Real Estate Investing FAQ 1. What does buying a property “Subject To” mean? Buying a property “Subject To” the existing mortgage means taking ownership of the property without officially assuming the existing loan in your name. The loan remains in the seller’s name and on their credit report, but you make the payments. It’s […]
Sub 2 Purchase Course
Sub2? What is that? Well, sub 2 is short for subject to the existing financing. It is a popular way to buy property without using a bank. We also use Land Trusts. We can couple subject to purchase with a note. This note can be no payments for 5 years and then a balloon payment. Some people are […]