Re: Subject To Questions - Posted by TRandle (TX)
Posted by TRandle (TX) on February 13, 2002 at 19:22:23:
Based on the sketchy details posted, I’m going to say leave this one alone. In my experience folks that need debt relief are not real good candidates for a refi. And a refi would lower the payment $500 per month?
Based on the questions you’re asking, my ill-informed opinion is that you do NOT want to do this Sub2. No equity deals are not generally a good choice for ownership unless you have the capability of carrying the property for quite some time. Yes, the first go-round you could mitigate your risk of obtaining a TBer, but what about when they bail?
Even if you somehow got the payment down to $1,700, how many months could you carry it? Are you in a position to refi it if you had to? It obviously won’t sell at this retail price with a realtor so that route is out.
There are ways to make this work, but it would take forever to type. JohnBoy, you out there? Kimberly, you could do a search on JohnBoy and assignments - that would be one way to pull some cash out of this and remove your risk.
Just because you can get the deed, or do a nothing down deal, or help someone, or get a little upfront money DOES NOT mean you should do the deal. I do speak from experience on this one.
If you’d like some informed answers, you’ll have to post the following:
FMV and how you came up with it
loan balance - balloon, prepayment penalties
interest rate - fixed, adjustable
market rental rate
There are numerous folks on CREO who are generous with helping someone out with a deal, but they want ALL the details.
Hope that helps some…