Sub2Investor

Hans breaks down a subject-to deal that delivered an infinite cash-on-cash return by partnering with a private money lender! This pre-foreclosure deal required $25,000 to catch up $18,000 in late payments and fund $7,000 in rehab for a $120,000 home. By structuring a 50/50 equity partnership via a land trust, Hans’ LLC and the partner’s LLC split profits, with the partner contributing $25,000 and...

Hans shares his proven process for screening tenant-buyers for rent-to-own and seller-financing deals on subject-to properties. Learn how to pre-screen candidates via phone to save time, focusing on their rental history, employment stability, credit patterns, and landlord references. Discover key red flags like evictions or frequent job changes, and why credit scores matter less than consistent re...

Hans tackles the tricky topic of when and how to disclose subject-to risks to sellers, like the due-on-sale clause and the loan staying in their name. Learn from his mistakes—overdisclosing too early and losing deals, or underdisclosing and surprising sellers at closing. Hans shares his five-step disclosure process: initial talks, purchase agreement, addendum, pre-closing emails, and closing docum...

Hans dives into a real subject-to deal, his 13th, showcasing a 69% cash-on-cash return! This two-bedroom St. Louis home was acquired for $114,000 via text message marketing, with a $103,000 loan balance at 5.125% and $11,000 cash to the seller. With $5,000 in minor rehab (paint, deep cleaning, landscaping) and $1,000 in closing costs, Hans invested $17,000 total. A lease-option tenant-buyer paid $...

Hans reveals his top strategy for finding tenant-buyers and seller-finance buyers for subject-to and creative finance deals! Learn how to use bandit signs effectively to generate leads for lease-options and seller-financed properties. Hans shares real-world examples, including sign placement tips near schools, shopping centers, and high-traffic areas, plus pro tips on messaging ("rent-to-own&...

Join Hans and first-time subject-to investor Ray as they unpack a creative finance gem! Ray, a Seattle-based real estate photographer, snagged his first subject-to deal in Grand Rapids, Michigan, through a 17-year friendship forged in online gaming. This hybrid deal—$205,000 purchase price, $125,000 subject-to loan at 3%, $40,000 cash down, and $40,000 seller-financed (0% interest, $15,000 15-year...

Join Hans and creative finance guru Bill Walston as they dive into lease-options and master lease-options! With over 40 years of experience, Bill shares why lease-options are perfect for low-risk acquisitions in shaky markets and hands-off dispositions. Learn how to structure deals with minimal upfront cash, avoid tax pitfalls, and manage risks remotely. Discover insider tips on paperwork, option...

Hans dissects his 11th subject-to deal, a manufactured home purchased for $132,000 with a $124,212 first loan (4.25% interest, $807/month PITI) and a $5,000 non-interest-bearing partial claim second lien, totaling ~$130,000 in debt. Found via expired low-equity listings, the seller, over-leveraged and out-of-state, required no cash upfront, with $1,100 closing costs and $1,700 rehab expenses (insp...

Hans analyzes a hybrid subject-to deal in Columbus, Ohio, with Josh, a first-time investor, using the Deal Evaluator’s long-term rental tab. The duplex, under contract for $450,000, has a $411,000 subject-to loan (4% interest, $2,015.70 P&I, $2,550 PITI with PMI) and a $19,000 seller carry note (6.5%, ~$125/month, 7-year balloon, potentially negotiable to 0% over 10 years). Costs include $20,0...

Hans recounts his 11th subject-to deal, a manufactured home 3.5 hours from his base, acquired via expired low-equity listings (LTV ≥80%) through postcard marketing. With a mid-4% interest rate loan, the deal promised strong cash flow. Closed remotely, Hans faced chaos: two squatters moved in without paying option fees or rent. The first squatter left after sheriff intervention, but the second, vou...

Hans dives into funding subject-to deals with private money, addressing cash needs for seller payments, closing costs, or agent fees when upfront capital is required. He outlines three strategies: 1) Short-term gap funding (3-6 months, interest-only), e.g., borrowing $20,000, repaid with $2,000 interest upon receiving a $25,000 option fee or down payment, ideal for quick lease option or seller-fin...

Hans analyzes a potential subject-to deal with a community member using his Deal Evaluator software, in a "Deal or No Deal" breakdown. The property, a pending Texas home listed at $220,000 (estimated fair market value $215,000), has a $203,000 loan at 7.25% interest (originated August 2023, 30-year term, $1,376 P&I, $1,884 PITI) with $5,700 in arrears. Front-end costs include $5,000 to the sel...

Hans reveals his go-to strategy for finding off-market subject-to deals using PropStream, bypassing MLS access. He walks through pulling an expired low-equity list, targeting failed listings (expired, canceled, or withdrawn) from the past 1-3 years with a loan-to-value (LTV) of 70-80% or higher (equity ≤30%) and max equity of $75,000. Focusing on single-family homes (3+ bedrooms) in markets like A...

Hans breaks down his 10th creative finance deal, a seller-financed duplex acquired via a wholesale referral. Purchased for $110,000 ($5,000 down, $105,000 note at 5% interest, 7-year balloon, $563/month), the duplex in an A-class area needed moderate rehab. Instead of renting both units, Hans marketed it to investors and sold it on a contract for deed for $145,000 ($29,000 down, 6.4% interest, 6-y...

Hans introduces a powerful pay-per-lead tool, iSpeedToLead, revolutionizing lead generation for creative finance deals, particularly subject-to transactions. This platform allows investors to buy exclusive or shared motivated seller leads generated via Google, Facebook, YouTube ads, or SMS, bypassing the need to manage complex marketing campaigns. Hans highlights how to filter for subject-to candi...

Hans dives into his ninth subject-to deal, a St. Louis rental property acquired from an expired low-equity listing (LTV >80%) via PropStream. Purchased for $121,000 ($116,000 loan at 2.875% interest, 40-year amortization, $566/month PITI, plus $5,000 cash to seller), the property had a tenant paying $1,200/month, yielding $634/month cash flow. After $6,000 front-end costs ($5,000 to seller, $1,...

Hans welcomes tax strategist and seasoned investor Bill Walston to dive into the tax implications of creative finance deals. Bill, a former CPA with a master’s in tax law, shares his expertise on structuring subject-to, seller financing, lease options, and contract-for-deed deals to minimize tax liability. Key takeaways include: avoiding dealer status to escape high ordinary income and self-employ...

Hans breaks down a real seller financing deal, sharing his upgraded Deal Evaluator 2.0 and a multi-option Letter of Intent (LOI) for a high-equity absentee owner lead. Starting with a $100,000 cash offer, Hans pivots to four seller financing proposals, ranging from $132,000 to $160,000, with down payments of $6,000–$10,000, terms of 5–7 years, and a principal-only 0% interest option. He walks thro...

Hans tackles viewer questions from YouTube comments, diving deep into critical subject-to (Sub2) real estate topics. He addresses a key concern: what happens if the seller passes away in a Sub2 deal? With proper paperwork like a deed, third-party authorization, and limited power of attorney, your investment is secure, eliminating liability concerns. Hans also discusses wholesaling Sub2 deals, advi...

Hans takes you inside a live phone call with a subject-to seller, demonstrating how to navigate objections and clarify the Sub2 process. The seller, an out-of-state homeowner with a low-equity expired listing, mistakenly believes Hans proposed a formal loan assumption. Hans calmly corrects this, explaining that Sub2 involves a non-qualifying assumption, taking title while leaving the FHA loan in p...

Hans dives into his first real estate investment, a BRRRR (Buy, Rehab, Rent, Refinance, Repeat) deal in St. Louis, and compares it to his first subject-to (Sub2) deal to reveal why creative finance became his go-to strategy. Purchased for $52,500 cash with a $20,000 rehab, the BRRRR deal required months of hands-on work—skim coating walls, painting cabinets, and replacing flooring—only to refinanc...

Hans shares a powerful, cost-free strategy for finding subject-to deals by targeting for-sale-by-owner (FSBO) listings on platforms like Zillow, Facebook Marketplace, and Craigslist. Learn how to scrape FSBO leads using Zillow’s “by owner” filter, compile property details into a spreadsheet, and leverage tools like PropStream for equity estimates. Hans unveils his FSBO workflow template, a systemi...

Hans reveals his battle-tested creative finance sales script for closing subject-to and seller-financing deals. This episode breaks down the five key pillars to qualify leads: property condition, seller motivation, timeline, price, and encumbrances (liens or mortgages). Learn how to initiate conversations, whether cold-calling, following up on expired MLS listings, pre-foreclosures, or for-sale-by...

Hans unveils his 7-step master plan for subject-to real estate investing, a proven blueprint for generating massive cash flow and backend equity spreads with creative finance. Extracted from his Complete Beginner’s Guide to Creative Real Estate Investing course, this episode breaks down the process: 1) Generating leads through persistent marketing, 2) Managing leads to identify motivated sellers,...

Hans dissects his eighth subject-to deal, a pre-foreclosure gem that netted $110,000 without any rehab! Purchased for $163,500 ($140,000 loan at 2.625%, $13,000 arrears, $6,000 to seller), this vacant property was sold on a land contract for $209,000 with a $17,000 down payment, leaving Hans $4,000 out-of-pocket. The deal generates $425 monthly cash flow via an interest rate arbitrage (6.13% buyer...