Need a Michigan real estate lawyer

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Need a Michigan real estate lawyer

Investor · Grand Rapids, MI · Member since 2021 · 49 posts · 21 votes

Hey guys, need help finding a lawyer.

I bought a few rentals a couple years ago in west Michigan, long story short, we've got to let go of one because we're over leveraged.

Our lender wrote a bad loan, we purchased the property for more than it's worth, now we aren't able to sell it properly without bringing a lot of cash to closing table — cash we don't have.

Found an investor who's willing to purchase the agreement sub-to. They just sent over the agreement and it's pretty scary/confusing.

I'm now looking for a real-estate lawyer in Michigan who can review this sub-to agreement and let us know if the agreement is sound.

Any recommendations would be much appreciated.

Cheers,

Ryan

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  • Drew SygitBusiness Member
    Property Manager · Royal Oak, MI · Member since 2012 · 13k+ posts · 9k+ votes
    2w

    Going to guess the contract is pretty one-sided.

    FYI - NEVER sign over the deed as long as you are still on the mortgage!

    DM us and we can refer you to 2-3 attorneys that are experienced to assist...

  • Realtor · New York, NY · Member since 2019 · 71 posts · 27 votes
    2w

    Ryan, Drew's point is the big one — in a sub-to, the mortgage stays in YOUR name, so if the buyer stops paying, it's your credit on the line. A few things to have the lawyer pressure-test in that agreement:

    1. Due-on-sale clause — the lender can technically call the loan if they discover the transfer. It rarely happens, but the agreement should acknowledge the risk.

    2. Insurance — the policy needs to be restructured (usually the seller added as mortgagee/loss payee) so you're protected if something happens.

    3. Default remedies — you want a clean, fast path to take the property back if they miss payments. Vague default language is a red flag.

    Also worth asking the lawyer about a wrap/land contract vs. straight sub-to, and whether a loan modification or forbearance with your current lender could buy you time to sell at a better price. A documented workout attempt also strengthens your position if you end up going the short sale route. Tough spot, but you're asking the right questions before signing — most people do it the other way around.

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