It does, however, mean that a lot were when refi's and sales were at such a high volume that the lenders were not even looking at the appraisal for the most part.Getting back to the role of the lender -- all lenders are subjecting appraisals to close scrutiny, first applying certain measurements to the basic facts, and then sending it to appraisal review when it does not meet the standards of these new guidelines (and they do not meet them A LOT right now.)It doesn't matter what the realtor feels it is worth or sometimes even what the buyer is willing to pay, unless they have deep pockets to put down a larger down payment to make up the difference they cannot finance -- the lender will have tremendous influence over the value simply because they control the purse strings.

Subject to is very new to me and very enticing.

He sought a bank loan that covered his remodeling plus his mortgage so my guess is he's eaten up his profit holding this house for 6 months.

What this will do obviously is get our house off the books as the rent will cover the mortgage, taxes and insurance for the 6 months, then at the end of the 6 months when he gets back they will supposedly buy the house.What flaws do some of you more seasoned investors see in this.

If you are doing a subject-to the numbers are different.

Unfortunately, if you have to shoot someone, the criminal will not only have holes in him, he'll be covered with lipstick, loose change, fingernail files, and whatever else women carry in their purses these days!!!

You get a quicker sale because the buyer can literally visualize EXACTLY how the house will look.You'll find REALLY cheap and Nice stuff on Craigslist.com & your price can cover the costs.

That is why you either don't ever deal with financing and do lease options, subject-to, wholesaling........or you get the loan in your own name and then put it into your LLC 60 days later.

While we're on the subject, I can think of a few alternate outcomes that might occur, might as well explore them, basic as they might seem 1. lets say we've got that same situation, somebody owes close to the full amount on a mortgage on a 300k house. let's say they owe 275k still.

Learn how to do subject-to and lease options when buying rental properties.