RevNorth.com

Thanks for the info. Great, now I have call reluctance and can't call them up. I hate being the bearer of bad news. Contrary to Doug's post, hard to find Sub2s where I live--this is the first decent one I've found in two years--pretty sparsely populated, hate to lose one. My others have been 100+miles from home. This deal offers a $15-20k backend, probably neutral cash flow til that point. Response to my print ad (which includes "We'll finance!") is slow after three days in the local paper. Maybe I should just let it go. I'm only halfway into my 30 day "inspection" period, I'll try a takeaway close, if they balk, I'll find some excuse and move on.

I let my sellers kinda talk me out of doing a Sub2 deal/putting the title in a Land Trust. Now our deal involves them staying on title and me Lease-Optioning it from them. They are worried that since we both do business at the same local bank--where they've been blabbing to the banker about our deal--that they'd call the loan Due on Sale if there was a transfer. The signed P.A. says our deal is Sub2, but I verbally agreed to an L-O deal without realizing that I don't want to be paying the taxes and insurance if I'm not on title. The Landlord-Seller from whom I'm buying should be paying those (If I did that as a Seller to my Tenant-Buyer, I'd be creating equitable interest), right? How would you recommend I explain this to them, that I want them to agree to pay the "T" and "I" part of the PITI payment, now that I've kinda agreed to pay the whole PITI payment? The difference is substantial, and may crimp my ability to get it sold.

Why not make your offer in an LLC set up for this purpose, then sell the LLC to your final buyer, then they can close it--as the owner of the LLC--and no one's the wiser?

Yes, it's my first SS deal, but I have done a dozen or more other kinds of deals (mostly Sub2s), usually without any attorneys or Realtors involved. I'm comfortable that the title is OK. Anyone who's done a deal like this who HAS had problems? How about if you typically file(d) your own deeds, what's gone wrong, anything I should be aware of?

After some back and forth, the bank agreed to $5000 payoff (long story, small rural town with low values, property needs some repairs), and faxed me a letter agreeing to that amount. I have two weeks to get them the cash. I also have to pay off $3500 of back taxes to record my interest. I will use it as a rental for now, already lining up a tenant. The seller is out, and has signed a POA , along with both Warranty and Quit Claim Deeds (don't know which I should record yet). I offered her $500 for the appliances, which I haven't paid yet. I searched the title (and judgements) myself at the courthouse, no problems or issues, but I obvously want to change title ASAP to prevent any from popping up later. Do I need an atty. involved to make sure I don't send my $$ into a black hole? How does the money exchange happen so I don't screw anything up (or get screwed)? I assume I'll get simply a Satisfaction of Mortgage from the bank which, along with the Deed should make the house mine? Or am I missing any details? I've done lots of other deals (Sub2s, tax sales, Sheriff's Sales, etc.), but this is my 1st SS. Thank you for any advice.

I wish I had the magic phrase, but I've had some luck with "Tired of Landlording?" including a gal who called and said "it's not selling, maybe you want it for a rental" and sold us her townhouse Sub2 for barely half what she paid for it 4 months before; it came with a mortgage of half its FMV, and equally small payments. We did promise her a back end of $9k (front end $1k), Leased it quickly for $3800 down, so far we're ahead about $2000. We pulled an O & E, but any title problems/expenses will come off of the back end-it's in our contract--ensuring her compliance throughout the process.