Re: Partially partial - Posted by David Butler
Posted by David Butler on September 24, 2003 at 17:54:10:
You would use a partial purchase agreement, such as the one found in Tin Can Alley, which is available at this website.
Also, you would want to be familiar with the legalities related to partials, which are fully explained in the Appendix of Tin Can Alley, in the section “Legal Implications In Partial Purchase Agreements”.
You can also learn additional information about partials by simply entering the term “partials” in the “search” facility here in this Forum.
By the way, who holds title to the home? Depends on the state where home is located. In states like California and Texas, the note holder holds the “legal” title, and the actual title document. This document shows the equitable owner (Payor) as “registered owner”. When you purchase a partial, and following the SOP of partials, a full assignment of the note is done to the note buyer.
As part of the escrow process then, a new title document is issued, replacing the previous title document, and now showing the new note holder who purchased the partial payments, as the legal owner. And, as shown in Tin Can Alley, a reassignment of the note is made back to the original note holder who sold the payments, once the partial note buyer has received the payments he purchased. At that point, the title is once again reissued, now showing the original note holder again as “legal” owner.
Best wishes for your success on Tin Can Alley!
David P. Butler