How do you SUBTO a property? If I want to take over a seller's mortgage payment who is in pre-foreclosure and owes back payments, how do you catch up the payments? I would imagine you can't call the lender to say "hi i'm taking over the mortgage payments on Susy's property. Here is they money she owes". Because then they'll want to call the loan due. Does the payment go to title company with instructions to say "this amount is to pay the seller's back payments?
You would get a third-party authorization form signed by the seller and request reinstatement documentation. Once you pay the reinstatement, the loan is now current and you can take over the property subject to.