Subject To with Existing 1st Lien (Part 1)

[Brandon Sturgill]

I am learning how to structure subject to deals and wanted to gain some additional insight. In this example, I have a property with:

$40,000 remaining on 1st lien with 10-years remaining of a 30-yr mortgage

$75,000 agreed purchase price

$35,000 difference

So, I assume debt service on the 1st lien, but would I then make the set payment for the remainder of the note period? (with a 3rd party debt service firm). 

What about the difference between loan balance and purchase price ($35,000)...is it possible to have the seller carry this as a 2nd lien? And if so, would that be a note?...

This would be a property to be held as a rental property...