Real Estate Information

Luxury Real Estate Information

Rancho Palos Verdes, California Homes
Palos Verdes, California Homes
South Bay, California Homes
Luxury Mexican Beachfront Homes

Featured Properties

Oceanfront Estate Near Trump National

Related Information

Loan Information
Real Estate Information
Mortgage Refinance Information

Real Estate Investing: Beware of Subject To Promises

Another real estate writer's mini course, full of promises and fluff, ended with a "lesson" on why you need to buy his book so you can finance multiple properties "subject to." The reason, he said, "because banks won't let you finance more than ten mortgages."

This simply isn't true.

First, banks let you finance as many mortgages as you can pay for. Some banks limit the number of loans made to one person. Experienced real estate investors just move on to another lending institution.

I know one investor who owns more than one hundred single family homes. All have mortgages. He constantly refinances one rental for the down payment to buy the next. Besides living off the cash flow from his rentals, he also refinances a rental occasionally to take his family on a first-class vacation.

Another investor, my friend who owns the carpet company we use for our fixers, owns more than fifty rentals. None were purchased "subject to" the existing loan. Many were purchased "all cash" for quick closings, with mortgages added later.

For beginning real estate investors, looking for an owner willing to sell their property "subject to" the existing loan adds a frustrating component to the search for a profitable property. Today's savvy home sellers just won't sell to a buyer who can't cash them out.

Of course, some investors offer "subject to" and lease-option purchases. But, properties with most of the equity stripped out come with payments too high for rental income to support. These properties make better candidates for owner-occupant home buyers with poor credit who don't mind paying more for a house.

Beware of "subject to" seminars, books, and promotions. This real estate investing method worked last century.

Copyright (c) 2005 Jeanette J. Fisher. All Rights Reserved.

Jeanette Fisher teaches real estate investing and credit college courses. She became a credit expert to help her real estate students buy their dream home and multiple investment properties. Jeanette is the author of "Credit Help! Get the Credit You Need to Buy Real Estate" and other books. For a free report, "Credit Tips for Mortgage Financing," visit the Real Estate Credit Help Center

This RSS feed URL is deprecated, please update. New URLs can be found in the footers at

Seeking Alpha

Real Estate Outperforms Amid Broader Selloff
Seeking Alpha
Amid rising trade and political tensions, US equities dipped nearly 6% this week, the worst weekly performance in two years. REITs fell 5% while homebuilders declined 3%. A flurry of headlines reignited volatility this week including a Fed rate hike ...

Hot Property: Real estate reboot
Los Angeles Times
Not every housing ambition works out as planned. This week's collection includes an Oscar winner who has relisted his Hollywood Hills West compound as two separate properties and a writer-actor who decided against building his dream house in Malibu ...

Naples Daily News

Real estate briefs
Naples Daily News
The show has guests who specialize in relevant topics in the real estate industry. All Shows can also been seen on the website under icon online education. Two model homes at Naples Reserve were honored with 2018 Parade of ...

and more »

Las Cruces Sun-News

Selling or leasing real estate without a license is a felony
Las Cruces Sun-News
If you're thinking of helping a friend, neighbor or relative buy, sell or rent a home, apartment or commercial property, you'd better think again. Conducting such activities without the benefit of a real estate license is against the law. In 2008, the ...


How To Win A Real Estate Bidding War: Advice From The Pros
Listen to Paul, Habibi, Continuing Lecturer of Finance and Real Estate at UCLA Anderson School of Management. Have a plan in place where you know you what your number is before you even make your offer. Buying a personal residence that others want ...

Real Estate Newsmakers
JoAnn Drabble, broker associate of Re/Max Welcome Home, qualified for the Re/Max Chairman's Club Award for 2017 and ranked No. 9 of the Top 25 Individuals for all of Re/Max New England for 2017. Drabble was awarded the prestigious Lifetime Achievement ...

and more »

Real Estate Transfers
The Keene Sentinel
Here is a list of 34 transfers recorded in Cheshire, Hillsborough and Sullivan counties during the period ending March 9, 2018. Listed below is the date of the deed and the purchase price, based on real estate transfer tax paid. This list does not ...


Real Estate Pros Share Their Favorite Resource For Market Trends
This is especially important for real estate professionals, who must contend with rapidly changing price points, demographics and client preferences. Sharing the latest, most up-to-date listings and statistics with your clients will inspire trust and ...

Real estate leaders gear up for radical meeting in the desert
On Monday a set of curious, smart and influential real estate people from around the country will ditch their office for the desert and the chance to make history at Disconnect in Palm Springs. Together almost 200 attendees reflect the diverse and ...

Torrington Register Citizen

Real estate notes, March 24, 2018
Torrington Register Citizen
CANAAN — Broker associate Wendy Eichman has purchased the real estate operation formerly known as The Raynard & Peirce Real Estate Company. The new entity is Raynard & Peirce Realty LLC. Eichman transitions from Broker Associate to being Broker for ...

Google News

home | site map