Pace Morby identifies himself as a “creative finance junkie.“
You’ve probably seen him and his distinctive peace symbol all over the internet discussing subject-to real estate agreements.
What are subject-to deals? How may you benefit from them?
Are Pace’s courses, mentorship, and coaching programs of high quality? How much do they set you back? Is he legit? Can you make money from his course?
I’ll address all these questions and more! So hang in there!
Now, I do want to be honest here, so…
Subto is a real estate investing program.
Like most real estate investing training courses, you’ll likely be exposed to the “Big 3” investing types:
- Long-term buy-and-hold
Regardless of which path you go down, there is a lot of potential with real estate investing.
After all, it’s the world’s oldest wealth-builder.
However, before you leave this Subto review and go sign up, you might want to ask yourself:
“Is now the right time for me to get into real estate investing?”
Because, no matter which way you slice it, real estate investing is extremely capital intensive, labor intensive, or both.
So if you’ve only got an hour or two a day, or your savings account is a few zeroes lighter than you’re comfortable with, this might not be the best time for you to jump into real estate investing.
But that doesn’t mean you’re out of luck. It just means you need a system to free up more time and give yourself a stronger financial cushion.
A good way to get yourself there is with Digital Real Estate.
Digital Real Estate takes all the best parts of real estate investing, while eliminating most of the headaches:
- Low cashflow
- Interest payments
- High overhead
- Expensive repairs and maintenance
- Problematic tenants
And the best part?
Digital Real Estate allows you to build a passive income stream that’s actually passive!
An income stream that brings in consistent revenues every single month (from a couple thousand dollars to well over $10,000).
An income stream you could actually build in your spare time, and grow as large or as small as you want to, without having to spend hours a day analyzing deals, cold-calling homeowners, or dealing with contractors.
If that sounds like something you’d be interested in, check out Digital Real Estate.
This is the perfect first step to build recurring income that you can then use to start investing in real estate down the line.
However, if you’d still like to know more about Subto , keep reading.
Who Is Pace Morby?
Our gentleman Pace Morby is a well-known real estate investor who began as a contractor, repairing over 7,000 residential properties.
Pace worked as a portfolio flipper for several well-known iBuyer portfolios. He flipped around 1,000 residences per year but did not gain personal fortune.
This is when he started flipping his homes and systematically building a portfolio of rental properties that would provide him with the necessary cash flow. He accomplished this all on his own without relying on bank finance.
He’s always had an entrepreneurial spirit, has created a profitable business before graduating from high school and managed two companies during his undergraduate years.
When he was only 23 years old, one of his biggest business triumphs was operating and owning a thriving gas and oil company with over $15 million in annual revenue and more than 200 employees. Pace specializes in small business development, financing, and business consulting.
Pace Morby has developed a reputation for seller financing, subject to investing transactions and flipping. He is a well-known figure in the real estate world regarding non-traditional or creative financing. His mission is to inspire entrepreneurs worldwide to follow suit.
What Is Creative Financing In Real Estate?
“Creative finance” is a term used in the real estate business to refer to any financing arrangement that does not involve a typical mortgage loan. Hard money loans, rent-to-own agreements, and seller financing are all examples of creative finance.
When a loan is structured in an unusual, unusual, or inventive manner, it creates an opportunity for someone with bad credit or unfavorable credit history to purchase a home or other real estate.
This typically requires arranging long-term loans and devising novel credit repayment strategies to acquire buyer finance that an individual would not achieve on their own. Normally, a third-party lender or financial institution gives a creative financing agreement and is found in various loan and financing agreements.
What Is Subto?
Subto is a real estate education training program and community focused on innovative financing alternatives and coaching and mentoring real estate investors throughout the United States.
It is a six-week program that teaches the fundamentals of subject-to-investment and creative real estate finance. Each week of the course focuses on a different business component, such as controlling costs such as property taxes. The modules are meant to instill a complete understanding of Pace’s subto investment methods in beginners and veterans.
How Much Does Subto Cost?
Pace Morby’s flagship Subto course includes:
- Step-by-step video instruction.
- A private Facebook group (in which participants are treated as family members).
How much money is required for enrollment? $7,800 is the asking price.
Pace offers a three-month virtual assistant and a CRM as a bonus. The price increases to $10,800.
On the flip side, live events and masterminds are priced between $10,000 to $19,000.
What Is A Sub To Deal?
In real estate, the term “subject to” refers to the fact that you are purchasing a home that is currently subject to a mortgage.
Under typical conditions, what happens when a homeowner sells a property on which the mortgage is not paid off?
Typically, the selling earnings are used to repay the outstanding mortgage, with the remainder going to the seller. Alternatively, the purchaser may assume the rest of the mortgage, a process referred to as “mortgage assumption.”
Subject to is a middle ground between the two alternatives. The buyer agrees to make mortgage payments to the seller’s mortgage company until the mortgage is completely paid off. The mortgage remains in the original owner’s name, but the buyer repays it.
The buyer may be required to pay off the remaining mortgage sum quickly or may be required to make recurring payments over a longer time.
Consider the following:
Typically, no “formal” agreement exists between buyer and seller.
The buyer is not legally compelled to make mortgage payments in some instances.
However, if the buyer defaults on payments, the house may be repossessed.
At first look, it appears as though the seller is taking on more risk, as the buyer is not legally compelled to make mortgage payments. Regardless matter whether the buyer assumes the mortgage, the buyer retains ownership of the property.
If the purchaser falls behind on payments, the property will go into foreclosure and lose possession.
Typically, this is a sufficient incentive for buyers to keep their half of the bargain.
Is Sub-To One Of The Best Creative Financing Strategies?
Subto enables the investor to own real estate without requiring capital or even good credit. You save time and money by not having to borrow money. Additionally, it is a savvy approach for profiting from unattractive transactions to wholesalers, repair and flippers, or buy and hold investors.
If the seller falls behind on their mortgage payments, they can avoid foreclosure and keep their personal credit score as a result.
As a result, Subto might be a win-win situation for all parties involved. And, when you think about it, it’s the easiest, most straightforward, and least expensive way for real estate investors to diversify their portfolios.
Naturally, there are hazards. If the seller files for bankruptcy and the house is foreclosed, you may lose your equity. If you’re doing subject-to transactions, you’ll want to retain the services of a competent attorney and title company.
Is Pace Morby Legit? Is Subto A Scam?
So, is Subto a scam? Not technically. You can make money with this program, but it’s definitely not as easy as Pace Morby makes it sound.
There’s a ton of work to be done upfront, no real guarantee of success, and – most importantly – the actual profit margins on real estate investments are pretty small.
Now, there’s nothing wrong with front-loading the work and making the money later.
But if you’re grinding it out for 3 months – looking at real estate deals, sending out offers, negotiating with the seller and lender to buy a rental property – and then your reward is like $100 a month in profits, it’s not really worth it.
What if, instead, you could do that same 3 months of work (in your spare time), and your reward was a $500 to $2,000 payment that came in every single month (with a 90-95% profit margin)?
And what if you actually didn’t need to wait 3 months? What if you could get started today and have your first payment in a week?
And what if you could double it next week?
Well, that’s the power of Digital Real Estate.
And, unlike traditional real estate, you can legitimately do this from anywhere. It’s a true lifestyle business.
Your laptop and an internet connection is all you need.
Some of the most successful students in this program run their entire 6-figure businesses from:
- A camper in the middle of the woods
- A beach chair on the water in Mexico
- A small villa in Greece
They’re able to travel around, living their lives first, and focusing on their income second.
Because even if they stop working for an extended period of time, the money keeps coming in.
So adventure, memories, and experience are the top priority.
And they never have to worry about how to pay for the next trip, or consider asking for time off.
If this sounds more like the type of life you want to lead, just click here to find out more about Digital Real Estate.
Are There Alternatives To Subto?
Yes, there are plenty of other business models to choose from if you want to pursue this making money online. Here are just a few:
What Is My Top Recommendation For Making Money Online In 2023?
Our review team has spent months researching, reviewing, and vetting dozens of business models and thousands of programs.
While there may be no “perfect business”, the research IS conclusive:
Whether you’ve never made a dollar online, or you’ve been in this space for a while but never really “made it,” Digital Real Estate is for you.
1) It’s Flexible: got an hour a day? You can do this. Ready to drop everything else and dive in full time? You can do this. Yes, the more time you put in, the faster you see results. But even with a little time each day, you can move the needle in a Digital Real Estate game.
And because this system is so flexible, you don’t have to constantly be working to make more money. It’s called PASSIVE INCOME because if you stop working, the money doesn’t.
Imagine taking 3 months off to just tour around Europe, rent a cabin in the woods to write a book, hike the Appalachian Trail, or live on the beach and surf all day.
This is only possible if you have an income stream that’s not tied to your time.
Flipping and wholesaling are full-time jobs (and more), no matter what any real estate guru tells you. You always have to be searching for deals, because if you stop, so does the money.
2) You Own & Control EVERYTHING: Yes, in traditional real estate you kind of “own” the properties. But there’s also a ton of debt tied to most real estate investments, which means the property isn’t truly yours.
A lender can take it away if you miss a payment. Not to mention, loan payments really impact your profit margins.
With Digital Real Estate, you own the assets outright (with a 90-95% profit margin), which means you have all the power and all the control.
3) Little To No Startup Costs: It’s possible to get into Digital Real Estate with zero dollars upfront. Because, using the strategies outlined in this program, you can get a client to pay you BEFORE spending a penny out of your own pocket…even before you do any work.
Even without getting paid in advance, you can have your first Digital Rental Property up, running, and generating profits for less than $100.
4) Minimal Ongoing Expenses: With traditional real estate, monthly expenses are HIGH. Between loan payments, ongoing maintenance, and repairs (not to mention the possibility of having to go through the eviction process), profit margins are slim.
Plus, whenever you have a vacancy, factor in the costs to turn over a unit (plus the fact there’s no money coming in until the next tenant moves in).
With Digital Real Estate, a 100% online business with minimal maintenance and ongoing costs, you never even have to think about that risk.
5) Easy To Duplicate: Ok, here’s the best part: once you have your first Digital Rental Property up and running, you can literally DOUBLE your income with a few clicks, a couple keystrokes, and a single phone call (and you don’t actually need the phone call).
Remember: each Digital Rental Property is worth $500 to $2,000 a month in semi-passive income (over 95% profit). Every time you decide to create another one and increase your income, it gets easier.
Because you have more knowledge, more experience, more results, and more momentum.
If you wanted to double your income with traditional real estate investing, you’d have to double your monthly rent, double your deals/number of units OR double your profit margins. And, guaranteed that’s a lot harder than a few clicks and a few minutes of your life.
6) Make Money Helping Real People: This part is what makes it all worth it. With Digital Real Estate, you’re actually helping people by solving your clients’ biggest problem:
Small, local businesses need more customers, and with Digital Real Estate, you are unleashing a flood of happy, paying customers for these businesses.
You make money by helping them make money.
Not a big, faceless corporation either…a small business owner who’s using that money to put food on the table for their family, start a college fund for their kids, or take care of a sick parent.
Once you see how Digital Real Estate makes a real impact in the lives of real people, you’ll sleep like a baby with a big smile on your face.
Now, the choice is yours. You could continue browsing, looking at opportunities like Subto which could one day make you money.
You could continue researching, never making a decision.
OR, you could take a look inside, consider what you really want, and join a program that makes your dreams a reality. At the same time, joining a community of over 2,000 successful students that are living life on their own terms thanks to Digital Real Estate.
A consistent, reliable, semi-passive stream of income that doesn’t depend on you or your time to keep producing profits.
All while genuinely helping real people who are grateful and happy to pay for it.
If this sounds more like what you want out of life (or if you just want some nice side income), click here to learn more about Digital Real Estate.