This may be a stupid question but here goes, Instead of taking over an existing loan from someone in pre-foreclosure couldnt you just buy the property for the remainding amount of the loan? ofcourse assuming the numbers added up to be profitable.
Buying a property “subject to” and buying for the remaining amount of the loan can be synonymous. Example: Property worth 200K has an outstanding mortgage of 175K + arrearages of 5K. You purchase from the homeowner for 180K, loan is brought current via the transaction. When you said “buy the property for the remaining amount of the loan” I assume you didn’t mean buying the property from the lender since they do not own it yet.
- i am sure any thing can be done >>> is the loan assumable ?? is there any due on sale ??? and there are so many other things . I say get the owner to sell it to you on a wrap >>>> owner note and then sell the note and they pay off the old mortage and then you go on