In this instructional video, Joe Homs explains the fundamentals of "subject‑to" transactions, where the buyer assumes the seller’s remaining mortgage balance as part of the purchase price. He then outlines three primary sources of motivated sellers for such deals: (1) foreclosed properties, which are time‑sensitive and often have equity owners eager to avoid loss; (2) VA‑loan properties, which are legally assumable and can be transferred by contacting the lender for an assumption package; and (3) senior homeowners, who may prefer creative financing to defer capital‑gains taxes and receive steady monthly payments instead of a lump‑sum sale. Throughout, Homs emphasizes the win‑win nature of creative financing, encourages viewers to like, subscribe, and share, and offers additional resources such as a lead‑generation video and one‑on‑one seller‑financing assistance.
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In subject-to deals, the remaining balance of the mortgage, or the portion of the loan that the seller still owes, is considered a part of the buyer's purchase price. In other words, the seller's debt is counted against the buyer's purchase price since the buyer will now be subject to that debt. But where can we find these sellers that might be open to these options? What type of seller can make a good lead for a subject-to Investment. Welcome back to the channel. I made this channel for the new and experienced investor. Those of you who want to live the life you've always wanted through real estate. Make sure that you like and subscribe and share this video with your friends. Number 1, foreclosures. Foreclosures are on a clock and that clock is ticking every day and they're going to get down to the point, especially if they have equity in their property, That they may be subject to losing that equity and they don't want to do that. So these are great leads to go after and try to put some creative financing together so that everybody wins at the end of the day. Number 2, VA loans. VA loans are actually probably the easiest because they are still legally assumable. So you just need to contact the lender on a VA loan, ask them for the assumption package for that property. and you can assume that loan. Pretty much anybody who's behind on their payments may be subject to this type of deal. Are you following along? Make sure that you hit that like button and help me get in front of new investors. Another group that may be interested in this type of financing are senior citizens. Okay, why? Because they're older. Maybe they want to get rid of this property and they're thinking, well, if I get rid of this property Then I have to pay capital gains taxes if it's an investment property. If it's their principal residence, there are different rules, but if it's an investment property, they're gonna have to pay capital gains taxes right away during the sale. Why not tell them, well, instead of doing that, let's just do some creative financing, okay? And then that way I'm paying you every month a certain amount of money. And then that's the only portion that's taxable at the end of the year. So you're getting basically mailbox money from me. Wouldn't that be interesting to you than getting everything up front and having to pay that big tax bill up front? And then this way you only pay it as you receive that money during that year. Creative financing investment can be a game changer in your real estate journey. If you want help on how to generate leads that could potentially land you one of these type of deals, click on this video Right here. If you want more information on seller financing, reach out to me for one-on-one help. Remember, I'm always here to help.
