Sub To (Paying the mortgage Process after closing deal)

[Victor Rosario]

 In the State of Florida, just so that I understand the process, how does one begin to pay a mortgage after doing a Sub To deal. Does the title company help with this or would the new owner on the deed have some type of access to the finance lender platform to pay the note monthly? Or is this worked out with the seller when doing the contract to deed?

[Rick Pozos]

I pray that you are not trying to do a sub-to after asking that question. Even buying with a realtor there is a whole process. Same with sub-to. Chances are that you will never do a sub-to. Most people will not let you keep making their mortgage payment. Just so that your question is answered:

You have to get the information from the seller before you take over their payments. You want to have

Release of Information Authorization signed by the seller so that you can talk with the bank if you need to

Seller loan account #

Seller social security #

Bank online user name and password so that you can make the mortgage payment

Power of attorney from seller to deal with the property

Insurance changed over to your or your entity's name with seller as additional insured

Letter from seller that says that they know what they are doing and they know if you dont make the payments that it will affect their credit.

So after one or two of those, most people will not want to do this. BUT if they do, YOU make their mortgage payment directly to their bank.

[Eliott Elias]

Schedule an hour, pay the $500 to speak to a real estate attorney about subto in your state. Watch Pace Morby as well.