Real Estate Pros
How Subject To Financing Gets Fixers Full Price
Every listing is critical in today’s market, and interest rates and fixer properties seem to squeeze your opportunities.
What if there were ways to use the current market compression to create more opportunities for you and your sellers?
Most sellers are looking for the best price they can get for their home, but often they only know how to look at one place: the home’s current condition and cash value.
You can offer creative solutions that push your seller’s price beyond the basic retail market. Counterintuitively one of the most valuable assets they bring to the table isn’t the home itself, but the current debt on the home. They almost certainly bought the home or refinanced it during periods of very low rates. And this means they have an opportunity to leverage the terms of their existing debt to beat any deal a buyer will go out and find in today’s mortgage market.
By using Subject To Financing, your seller can negotiate on more than today’s condition and cash value, whether they sell to an investor or a buyer who plans to live in the home. The terms available in your seller’s existing mortgage may offer incentives to buyers, so that they are willing to pay more.
Subject To contracts typically need a few more clauses and provisions than those used in seller financing, but they can be be written to provide all of the same benefits: simple and effective recourse to protect your seller while giving you greater transaction control and commission as an agent. You can read more here, or reach out and ask us; we’re happy to help!
Your sellers may can feel trapped by their fixer properties. Subject To Financing provides options that free them up to negotiate on more than just the price and their home’s current condition.
