I’m looking at how I should enter a rental property that I acquired “Subject To”? I am taking over somebody’s mortgage and need to know how to enter that. Is the Acquisition Price of the property the price I actually paid (for example, if I gave the seller 20k and am taking over his 100k mortgage it would only be 20k), or is it the total price that I would have paid if I bought the house outright (120k)?
Did you figure this out? I would also love to know how to set this up.
I would want to see the closing statement from the attorney or title company to confirm. However, one source states that the remaining mortgage balance that the buyer is taking over is calculated into the purchase price.
Source - How Subject to Mortgage Loans Work in Real Estate.
Hope that helps.
-Tom