Framingham MA, Natick MA Real Estate | Diane B Sullivan, Coldwell Banker Residential Brokerag


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When you're considering buying real estate as an investment, it's a good idea to weigh the pros and cons. That's especially important with "subject-to" real estate, because there can be risks and rewards with this type of property that are different from traditional purchases. Here's what you should be considering, before you decide on this investment strategy.

The Pros of "Subject-To" Real Estate  

On the "pro" side of buying "subject-to" real estate is the way you can acquire multiple properties for your portfolio. Additional benefits include:

  • There's no need to get a mortgage in your name, so you won't be overextending your credit or finances.
  • You avoid a lot of the transaction fees that come with getting a mortgage and buying a property.
  • You can close on the property quickly, and you'll pay fewer title company fees in the process.
  • You can buy as many properties as you want, as fast as you want, and all you have to do is make the mortgage payments.
  • You'll be helping sellers who are facing foreclosure or otherwise need to get out from under their house payments.
  • The Cons of "Subject-To" Real Estate  

    With any real estate transaction or investment of any kind, there are cons that come along with the pros. When you weigh them carefully, here's what you should be thinking about:

  • If the seller files bankruptcy, the original lender could foreclose on the property and you may lose your investment.
  • The lender could exercise their "due on sale clause," and require that the current mortgage balance be paid in full.
  • The deed could be tainted in some way, and without title insurance in your name you might not be protected.
  • You may end up spending money on an attorney if something goes wrong during the process.
  • Technically, the bank still owns the home because there's a mortgage on it.
  • Why Choose This Type of Real Estate Investment?

    If you don't have the money or credit to buy investment properties, buying "subject-to" can be a good choice if you understand and mitigate the risks. You may also want to choose this option if you're trying to acquire a lot of properties quickly, and you want to save money over traditional purchasing options. For people who buy "subject-to", there can be big opportunities to buy quality properties they might not be able to afford under typical circumstances.

    But it's very important that you're aware of the risks and legalities. Getting an attorney to help you with the first few properties, and to collect and make the mortgage payments on all the properties you buy, can be one of the ways you can make this type of transaction safer and better for you and the seller.


    Charming one floor living, ranch home - featuring large living room with tons of natural light and newly added beautiful laminate flooring. Inviting open concept kitchen with great counter space. Kitchen sliders to composite sundeck (16'x12'), dining room features vaulted ceilings - makes for perfect remote work space environment. Expanded master bedroom with double closets and 2 additional bedrooms. Updated bathroom with tile back splash and Jacuzzi tub. Modern barn door for stacked washer/dryer (included in sale.) One car garage attached, good storage and ideal level yard space. Central air, gas heating and updated windows. Enjoy this friendly neighborhood in desirable Hudson location - easy access to 495 and downtown with various eateries, two breweries, a local speakeasy, Aerial yoga studio and the lovely Assabet River Trail. Showings begin Thurs. Open house Sat & Sun.

    More Info on this Property | New Listing Alerts


    22 Gates Ave, Hudson, MA 01749

    Single-Family

    $379,900
    Price

    6
    Rooms
    3
    Beds
    1
    Baths
    Charming one floor living, ranch home - featuring large living room with tons of natural light and newly added beautiful laminate flooring. Inviting open concept kitchen with great counter space. Kitchen sliders to composite sundeck (16'x12'), dining room features vaulted ceilings - makes for perfect remote work space environment. Expanded master bedroom with double closets and 2 additional bedrooms. Updated bathroom with tile back splash and Jacuzzi tub. Modern barn door for stacked washer/dryer (included in sale.) One car garage attached, good storage and ideal level yard space. Central air, gas heating and updated windows. Enjoy this friendly neighborhood in desirable Hudson location - easy access to 495 and downtown with various eateries, two breweries, a local speakeasy, Aerial yoga studio and the lovely Assabet River Trail. Showings begin Thurs. Open house Sat & Sun.
    Open House
    Saturday
    March 06 at 12:00 PM to 1:30 PM
    First come-first served, no appt. required. Covid guidelines apply.
    More Open Houses
    Cannot make the Open Houses?
    Location: 22 Gates Ave, Hudson, MA 01749    Get Directions

    Similar Properties




    22 Gates Ave, Hudson, MA 01749

    Single-Family

    $379,900
    Price

    6
    Rooms
    3
    Beds
    1
    Baths
    Charming one floor living, ranch home - featuring large living room with tons of natural light and newly added beautiful laminate flooring. Inviting open concept kitchen with great counter space. Kitchen sliders to composite sundeck (16'x12'), dining room features vaulted ceilings - makes for perfect remote work space environment. Expanded master bedroom with double closets and 2 additional bedrooms. Updated bathroom with tile back splash and Jacuzzi tub. Modern barn door for stacked washer/dryer (included in sale.) One car garage attached, good storage and ideal level yard space. Central air, gas heating and updated windows. Enjoy this friendly neighborhood in desirable Hudson location - easy access to 495 and downtown with various eateries, two breweries, a local speakeasy, Aerial yoga studio and the lovely Assabet River Trail. Showings begin Thurs. Open house Sat & Sun.
    Open House
    Saturday
    March 06 at 12:00 PM to 1:30 PM
    First come-first served, no appt. required. Covid guidelines apply.
    More Open Houses
    Cannot make the Open Houses?
    Location: 22 Gates Ave, Hudson, MA 01749    Get Directions

    Similar Properties




    22 Gates Ave, Hudson, MA 01749

    Single-Family

    $379,900
    Price

    6
    Rooms
    3
    Beds
    1
    Baths
    Charming one floor living, ranch home - featuring large living room with tons of natural light and newly added beautiful laminate flooring. Inviting open concept kitchen with great counter space. Kitchen sliders to composite sundeck (16'x12'), dining room features vaulted ceilings - makes for perfect remote work space environment. Expanded master bedroom with double closets and 2 additional bedrooms. Updated bathroom with tile back splash and Jacuzzi tub. Modern barn door for stacked washer/dryer (included in sale.) One car garage attached, good storage and ideal level yard space. Central air, gas heating and updated windows. Enjoy this friendly neighborhood in desirable Hudson location - easy access to 495 and downtown with various eateries, two breweries, a local speakeasy, Aerial yoga studio and the lovely Assabet River Trail. Showings begin Thurs. Open house Sat & Sun.
    Open House
    Saturday
    March 06 at 12:00 PM to 1:30 PM
    First come-first served, no appt. required. Covid guidelines apply.
    More Open Houses
    Cannot make the Open Houses?
    Location: 22 Gates Ave, Hudson, MA 01749    Get Directions

    Similar Properties





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