Creative Financing Disclosures
Please review these important disclosures regarding Subject-To, seller financing, and mortgage loan takeovers.
1. Non-Brokerage & Independent Marketplace Notice
Subto Sell is a technology marketplace and network platform connecting property sellers, investors, and licensed closing professionals. Subto Sell is not a licensed real estate broker, lender, loan servicer, or law firm, and does not provide legal, tax, or investment advice. Users are encouraged to consult independent legal and tax counsel.
2. Seller Understanding of Continued Loan Liability
In a standard Subject-To agreement, the seller’s existing mortgage remains in the seller’s name while the buyer assumes contractual responsibility for all ongoing debt service. Unless formally released or refinanced by the lender, the seller remains legally obligor on the promissory note.
3. Due-on-Sale Acknowledgement
Both buyers and sellers acknowledge that lenders hold the legal right to enforce due-on-sale clauses if discovered. Transactions are executed with mandatory loan servicing and insurance protocols designed to mitigate lender inquiries.