Subject to with Wells Fargo

[Ryan Deasy]

Hello, 

I have a possible subject to deal. Just wondering if anyone has had any experiences in doing this with a bank like Wells Fargo. 

Yes, I am asking about the dreaded "due on sale" clause. Please share your thoughts and experiences. 

Thank you!

[Marc Winter]

The strategy I have used to avoid triggering a 'due-on-sale' involves transferring title into an Inter-Vivos Revocable Trust.  Once that is done, the beneficiaries can transfer their interest to whoever you want.  

Garn-St. Germain allows for trusts used for estate planning purposes, so a proper trust won't trigger the clause--unless the payments to the lender are not made;  then all bets are off.

IMO, subject-to transactions should involve total disclosures to the original owner/mortgagor and signed documentation to that effect.  Use a lawyer.

NOTE:  I'm a humble re broker, not an attorney.  This is not legal advice.