Buying a property "Subject-To" the existing mortgage, also known as "Sub-2," is a real estate investing strategy in which an investor purchases a property with the understanding that the current mortgage on the property will remain in the seller's name. The investor will make payments on the mortgage, but the seller remains responsible for the loan. This strategy allows the investor to acquire a property without needing to qualify for a new mortgage or use their own funds to pay off the existing mortgage. The investor can then rent the property out or resell it, using the cash flow from the rental income or sale proceeds to pay the mortgage. This guide shows you how to buy properties Sub-2.
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