One of the most common questions we get from homeowners exploring subject-to is: “How exactly does this work, and how do I know you’ll actually make the payments?” Fair question. Here’s exactly how the process works.
Step 1: We Review Your Loan Details
Before we can make an offer, we need to understand your loan: the balance, interest rate, monthly payment, lender name, and loan type (conventional, FHA, VA, etc.). This typically takes a 10-minute phone call.
Step 2: We Make a Written Offer
If the deal works for us, we present a written purchase agreement that clearly states: the purchase price (usually $0–$5,000 depending on equity), the fact that we’re assuming payment responsibility, and the closing timeline.
Step 3: Title Company Handles the Closing
We use a licensed title company — not a handshake deal. The title company prepares all documents, records the deed transfer, and provides both parties with closing statements. You receive documentation of the transaction.
Step 4: We Set Up Payment Systems
Immediately after closing, we set up direct payment to your lender. We can also arrange for you to receive payment confirmation emails so you can independently verify that payments are being made on time.
What If We Don’t Make Payments?
This is the key concern. Here’s our answer: our business model depends entirely on honoring these obligations. A default would destroy our reputation, trigger a potential lawsuit, and end our ability to operate. We have strong financial motivation to make every payment on time, every month.
Have more questions? Call (877) 800-3187.