"Sub 2", or How To Take Over Payments On Houses Subject To Existing Financing

Successful Real Estate Entrepreneur Spills The Beans
About His Chief Weapon For Adding
More and More Homes To His Portfolio.…

It is…Taking Over Payments On Beautiful Homes
Subject To Existing Loans &
Later Reselling Them For $20,000-$50,000 Profit)

What Does It Take to Make A Lot of Money In Real Estate?

The answer isn't that complicated.

Making money through real estate investing is all about spreads between what you pay out and what you receive.

1. You buy houses with the low payments and low prices.

2. You sell with higher payments and higher prices. If you master that skill – you’ll be well ahead in the game.

But How Do I Get The Financing To Buy The Houses With?

As you probably guessed, the main barrier to entering the real estate business is money, or financing. If you plan to buy and sell a lot of homes you got to have a way to finance your purchases.

At least that’s what all “uninitiated” real estate investors think: “I either have to have the cash or good credit, so I can borrow money”.

What if you have neither? Are you out of the game?

Not at all! You don’t need to have your own money and you don’t need credit to become a successful real estate investor. What you need is knowledge about how to buy houses by reusing good existing mortgage loan financing that’s already been arranged before by somebody else.

That brings me to one of the most profitable models in modern real estate investing.

Business Model For Success: Take over payments on existing low interest loans with no money out of your pocket and resell these homes for profit.

How can you find these homes that you can reuse their existing financing?

They’re all around you.

At first glance - unbelievable, but true. You do realize there are hundreds of thousands loans that already have been arranged (or originated) in your city right where you live? Even millions of loans in a single large metro area.

I’m referring to the FHA, VA and conventional low interest, low payments loans obtained by home buyers over last 2-5 years and used to purchase their residences.

There’re already lots of these loans in your marketplace, but there’re many more better ones coming as you read these lines.

Thanks To The Government For Low Interest Rates!

As you know the real estate markets around the country have been slow. But our government has been faithfully reducing mortgage interest rates causing a lot of refinancing activities by the home owners who have higher interest loans.

In a recent report American Mortgage Bankers Association stated that in the US in a single year there are about $950 Billion dollars of new loans created by home owners who refinance their old existing loans.

Considering there’re about 100 major metropolitan areas in the US, that’s about $9.5 Billion in loans on average for every one of them – YOURS too! And that is being added to the mortgages in your town almost every year.

Most of these loans are created at low interest rates of 4.5%-7.5%. With these low rates, the mortgages (and houses they're attached to) have low affordable monthly mortgage payments.

The great news for you as a real estate entrepreneur is - you can reuse these existing loans without filling out a loan application, having your credit pulled and passing banks’ rigid qualifying guidelines.

So you see, you don’t even need a down payment to take these loans over. What you do need is knowledge of how how you can...

Take over payments subject to existing loans or financing
(This Strategy is Often Referred to as "Sub 2" for short)

Whenever these homeowners who recently obtained a new loan or refinanced their old loan decide to sell their home, you could be right there – buying a home from them. But instead of getting a new loan like everybody else does, you can reuse theirs!

When you do so, you’ll own a home with very low monthly payments and long term financing. There are multiple ways for you to generate massive sums of money once you buy homes like that.

Here’s an example:

A few years back I purchased an executive home for under $260,000 by taking over payments on the loan HE QUALIFIED FOR AND OBTAINED. I didn’t have to come up with any money out of pocket except for some minor closing costs.

I originally intended to resell the home “as is” with owner financing. However, shortly thereafter my family persuaded me to move into this house.

I can sell this home today for cash for about $500,000. (Remember, I only paid $260,000 for it!)

Let me ask you – could you afford NOT to learn this way of buying homes, when you can take over payments on someone else’s loan without qualifying or down payment and later resell the home for quarter of a million dollar profit?

Common, even after closing costs and commissions, it’s nearly $200,000 on a single purchase! 75% of the American workforce would have to work 5 years full time for this kind of money.

Admittedly, for my town this is a pricey home and the profit margin on it is pretty sizable.

What if you were to take over other people’s loans using sub 2 strategy on homes in the $90,000-$150,000 range? Making $20,00-$30,000 profit and $400-$500 a month cash flow in this price range is pretty realistic.

In fact, I hardly ever settle for less.

How many of these deals would you like to

Take Over Payments Using Sub 2?

They are right in your backyard and there will be more of them, in today’s weak economy.

How can you learn more about taking over payments sub 2?

There is a way.

Recently an old friend of mine, Matthew, called me up. He asked me to spend some time with him and share some strategies on making money with real estate.

You see, just several short months before, Matthew was a millionaire. That’s right, he was worth about $4,000,000. Unfortunately, these millions were only on paper, in the form of stock options of the high tech start-up company he was working for.

At the time he became fully vested (i.e., he reached the mandatory length of employment with the company that allowed him to access all his stock options) the company was going through a lockout period.

That’s typically a period of time surrounding company’s quarterly financial reports. During that time no stock trading/cashing is allowed.

Finally the lockout was over and Matthew was able to access all of his stock options. Only at that time the options became worthless since the company’s stock lost most (99%) of its value.

Shortly thereafter Matthew didn't even have a job.

Without a job and with cash being precious – getting loans and putting a lot of money down to buy homes wasn’t a viable option for Matthew. He was pretty eager to learn about this particular real estate business model of taking over payments on existing loans subject to existing financing.

So, we spent about an hour discussing what I do in my sub 2 business of taking over payments on mortgages. I laid out a plan for a beginner to follow my steps to success. The conversation focused on:

Taking Over Payments Subject To Existing Financing

1. Is taking over loans a real opportunity and can anybody get involved and repeat my success

2. What are the benefits for investor of taking over loans as opposed to other type of purchasing homes

3. What are the benefits for homeowner of this type of sale

4. What are the best loans to take over and which must be avoided

5. How to find home owners who have the type of loans we’d like to take over

6. What’s involved in taking over a loan

7. Who could handle the paperwork for such transactions

8. What are potential pitfalls of taking over loans and how to avoid them

9. Since this isn’t a traditional sale of the home, the homeowners often don’t understand what’s going on and tend to shy away. How you can explain to a home owner this type of transaction

10. How to guarantee the home owner feels safe and secure about this transaction

11. How to make a ton of money with the home after you purchase it and take over the loan

This conversation with Matthew was recorded on audio and is available to you.

With the way I take over payment sub 2 existing financing model I described above (which is mostly how I buy homes in my real estate investing business) you’ll be reusing existing mortgage loans someone else qualified for and obtained.

Therefore, you don’t need
your own cash or credit to get started

If you were postponing your entrance into this lucrative business because you thought you needed cash or credit – you now know how to get around this obstacle.

If you’re thinking of getting into real estate game be sure to start learning these powerful concepts of using mortgage loans created by other people. They can make you rich. This audio is a “must have” in your library.

However, let me make one thing absolutely clear.

Will you know everything there’s to know about...

Taking Payments Over “Subject-To” Existing Loans

after listening to this audio interview?

Nooooooo. Absolutely not.

You’ll learn the basics, you’ll know what it is about, you’ll know pros and cons, you’ll know the risks and the benefits, you'll know what mistakes to avoid and what pitfalls to watch for and a lot more.

As a result you’ll be able to decide whether or not this strategy may help you in your quest for real estate riches.

You may like what you hear or you may not.

  • It may be pretty exciting to learn more and get started (which is how I feel about it, because I made a lot of money with it)

  • It may also seem like it's not for YOU.

I don't have a crystal ball to say how you'll feel about it.

However, my job is to get this highly profitable strategy exposed as a potentially viable tool in your real estate investment arsenal. Ultimately it’s up to you to decide if it fits your style, goals and vision for your real estate investing biz.

So, consider this $20 audio a fairly inexpensive “decision” or “insurance” investment, so to speak.

You see, a worthwhile home study course on the Sub 2 real estate investing strategy will run you in the range of $300-$1,000.

If you’re thinking of investing in one but not sure if this strategy is for you – the audio interview will help you gain clarity and answer this question.

Download the audio as an MP3 file to put on your IPod, if you prefer. Or you can immediately start listening to the interview on our website using your favorite PC media player. It's also available in a streaming audio file format, so no lengthy downloads are necessary.

To get the "take over payments subject to" (sub 2) audio now and start profiting from existing mortgage loan financing someone else had to qualify for and obtain use the link below.

To Your Success!

Alex Gurevich,
investor & publisher

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