Is anyone doing subject to/lease options in Seattle metro?

Question

Hi everyone,

I'm interested in having creative financing knowledge as a tool in my tool belt as I embark on wholesaling. My farm area is within the Seattle metro area.

I would love to hear from anyone doing subject to deals with lease options or wraparound mortgages in either Seattle or another high priced metro area with a big white collar worker/tech base (i.e., high median income).

Given the high prices of homes in the metro area and the incomes of those who generally live in the metro area, I believe there might be fewer end buyers who would want to do a lease option or a wraparound mortgage. My assumption is that many in-city buyers would have good credit scores and would qualify for conventional financing. I have not had success in finding helpful data.

Maybe I'm wrong and there is actually a sizable number of potential buyers in Seattle who have marginal credit and a 10% downpayment for a $500,000 house.

I've love to hear from others either in the Seattle metro or other metro areas about the pool of buyers who need creative financing.

Thanks!

--Michael

Michael B. · Answer

Hi Brian,

Thanks for your reply with your experience. Sounds like Sub 2 is a tool I won't be using too often unless I branch out of Seattle metro with my marketing.

I've added you to my cash buyer's list.

--Michael

Brian Fouts · Answer

The sub 2 deals we have done have been in Tacoma and Olympia area.  We have had two that were in Shoreline, but fell through at the last minute.  There definitely are more buyers outside of Seattle/Bellevue looking for Owner Financing.  The ones under $125k have gone VERY quickly.  We have typically done wraps, no lease options.

If you are doing wholesaling, please add me to your cash buyer list.  We will take properties in the greater Puget Sound, SFR, multi, commercial, etc.