Fix n flip

[Shulem Meir Silverstein]

Hi! I am new to the forum, I had a idea and wanted to hear your guys opinions. I am new to investing but very driven and determined, how smart or stupid would it be to get a house with a subject to mortgage and then do a fix n flip? (The pros is I don't have to put down a down payment) 

please share your advice as I am really gonna listen! 

[Terrance Hill]

Welcome, Shulem! Great question. Sub-to can be powerful, but flipping with it can be risky. A couple things to keep in mind:

• Due-on-sale risk – lenders can technically call the note if they see title transfer. Doesn’t always happen, but it’s possible.
• Short holding period – flips usually only take months, but you still need reserves in case things drag out.
• Exit strategy – make sure your numbers work even if the lender does accelerate the loan or you need to refinance quickly.

Many investors use sub-to for long-term holds where the financing is the real value. For flips, hard money or private money is often more straightforward and less risky.

Curious—are you looking at flips as your main entry point, or would you also consider holding if the deal made sense?