How would this work assuming the seller had equity in a house and was listing it with an agent. Is sub2 no longer an option? (assuming the seller was ok with it?) I would have to write a check for the equity and then take over payments. How would a realtor get paid if we didn’t “close”?
Howdy GMTmaster:
Why would you not close? I have done sub2 deals ad had closings. Just because the title company may not give you a title policy you can still have a closing and escrow. Your attorney should be able to do the closing for instance and you still want to get a title commitment. I have closed deals myself as well including all the paper work and wrote the Realtor a check at the closing. My title company let us use their closing room and did the notary bit for me at no charge and I recorded the documents at the courthouse myself. If you have the will there is a way.
I once did a sub2 through a realtor, but there were a couple of things that made it possible. One-the seller was in default and was about to start the preforeclosure process. Two-the realtor was a personal friend of the seller’s and didn’t want the lady to lose her house, and all she asked for was her advertising costs, which I think totalled something like $500 or so.
I guess it depends on the situation, whether it will work with a realtor or not. Not to bash realtors, (there are some great ones out there) but many of them do not know how to handle “creative” financing techniques, and simply advise their clients not to do it, based on their understanding (or lack thereof) of creative deals. Again, I am not implying this about ALL realtors, just a vast majority of them.
Good luck!
Ryan
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