How many steps are there to a sub-2 deal?

General Real Estate Investing
1

Hey all,

So how many steps are there to a sub-2 deal and what are they?

Nate-WI

2

it really depends weather the deals goes smooth or not but I think usually is like about 12, not sure though.

3

What is the difference between a Sub-2 deal and a Short Sale?

4

Short sale is where the loss/mitigation dept has the file and is working on getting the home ready to be sold at the sherrifs auction. Sub-2 is talking to a buyer before the above happens and seeing if they will deed you the property thus you assuming their existing loan and hopefully getting equity. Usually you give them walking money or at the very least bring the arrearages current i.e utilities, back payments, judgements on title, etc.

Nate-WI

5

No one else can lend a hand here? This is what I know. I have to get an authorization from the borrower in case I need to talk to the lender for any reason. Get a general warranty deed signed and notarized (wonder how the notary aspect is handled? Have all parties meet at a notaries office?) and get that to the reigster of deeds. Change the address for the insurance if its escrowed so if something happens to the home I get the coverage. Have a POA signed in case the borrower leaves the city, state, dies, etc. So that’s four things. Deed, authorization, POA, and notary. Can’t be this easy right?

Nate-WI