Why The Morby Method Is A Dangerous Strategy
ฝัง
- เผยแพร่เมื่อ 14 ส.ค. 2023
- Matt Anderson with Anderson Legal joins us today as we take a look into Pace Morby’s “Morby Method” for buying real estate investments with no money. While there are certainly many ways that you can begin to acquire real estate with no money down, this method is dangerous and could end in your loan getting called by the bank due to a default on the buyer’s part. Let’s break apart this method and why you should (probably) not take this approach.
// Learn how to confidently buy your first property with my investment program:
www.crecentral.com/
Get Tyler's game-changing commercial real estate tools and resources: www.tylercauble.com/resources
// Consult with Tyler
www.tylercauble.com/consulting
// Get the underwriting models we use to run numbers on every deal:
www.TylerCauble.com/models
Glad you addressed this. If the lender was on board, there’d be no need for the 2nd leg of the transaction. Clearly done to avoid disclosing the 2nd lien to the bank.
I used to watch the subto stuff from Pace just to get a brush up. When I started in RE if you had $45 and could fog a mirror you could take over real estate loans. Recently I sold two properties with sub to but I made it totally clear that if two payments were missed I WILL foreclose to protect my interest.
I like Pace's enthusiasm and you can definitely use some of his techniques but he's way over ledged imo. I think he has a portfolio of like $350 million and maybe 10% is equity. My question is what if ppl stop paying en masse during a recession?
I would guess most of Morbys customers do not have enough capital to conventionally close on deals and his real hustle is charging for the mentorships. His entire business model revolves around predatory marketing to folks that have no business being over leveraged in Real Estate. The "wholesale" guys selling their strategy have been doing this for years. It is much easier to prey on those hopeful to get into Real Estate with no money than those that have working capital and know better. Many of the wholesale guys are practicing Real Estate without a license if they do not have the ability to actually close on the deal they have written and must find a buyer to get the deal to close.
Keep in mind that Pace Morby has a mentorship program, so he won't disclose all of that unless you are in his program. And those who are in his program have to sign an NDA...
so you guys say you can do similar things and you've done $0 down aboveboard with lenders that allow stuff. Can you share some more safe strategies for $0 down?
Matt Anderson is the man! Great episode!
As a early student if paces .Pace is great subto is great morby method is great as long as you have private money waiting to deploy. ..everything hes charging for for was free at one point. To the fearful if you try an find something wrong w anything look.hard enough boull find something... theres always risk goal isnt to avoid risk thats not possible u mitigate it...morby methods dangerous if you cant listen jus like tons of other stuff...or else everyone would be doing it....simply outside yr realm of understanding rn
He is saying Cash is a crutch. Once you have money you get lazy...clearly he has access to cash, its a concept more than a reality!
Can a second position loan with the seller exist with a subto deal without the sellers bank knowing ?
Sir thank you for your time and great information and education!!
I looked into the community and digested a lot of what he was posting on videos but it seems to me his model is to make money selling pick axes during the gold rush. When I tried to have a rational discussion about the terms of an agreement I was vilified in their chat. I found it's all about positivity, taking action, mindset and cheerleading and no negativity so being contrariant is considered negative. I saw a lot of similarities to cults so I passed on involving myself in that group.
18:00
35:56
Morby is a con artist, plain and simple. All you need to do is listen to him. He says that his method is different... ok? So it's different how? It's not... he is in the real estate market... there's almost no trick to real estate aside from common sense. 2nd, his youtube shorts are blocked for comments. If you are legitimate, you would not block comments in a public area such as shorts of youtube. Guy is a con artist, doesn't do anything special. Literally a sociopath trying to con people. He can TRY to sue me too if he wants, and I will win the case, cause this is not defamation, it's facts.