Cash isn’t king when the seller doesn’t care about the price.

It’s the terms that win the deal.

Creative financing is no longer a fringe tactic. It’s become a powerful tool for investors and agents who want to turn “not enough equity” or “too high of a price” into closed contracts with serious upside.

But creative finance only works when you match the right seller to the right structure.

In this post, we’ll break down:

• The 3 core creative finance strategies: Subject-to, wraparound mortgages, and leasebacks

• The lead types that work best for each one

• What to listen for on calls

• How to position creative options without overwhelming the seller

Let’s turn dead leads into cash-flowing deals.

Quick Primer: What Are Subto, Wraps, and Leasebacks?

If you already use creative finance, skip this. If not, here’s the plain-English breakdown:

Subto (Subject-To the Existing Mortgage)

You take over the mortgage payments but leave the loan in the seller’s name. You gain control of the property without new financing.

Wraparound Mortgage

You agree to pay the seller monthly (usually at a premium) while they continue paying their original mortgage. You “wrap” a new note around the old one.

Leaseback

You buy the property, but let the seller stay in the home for a set time, often rent-free or at a discount. This can be a huge win for downsizing or distressed sellers.

Each of these tools solves a specific seller pain point. Let’s match them to the lead types that scream “use creative.”

1. Subto Deals: Best for Behind-on-Payments or Underwater Sellers

These leads have one big problem: they need to sell, but they can’t pay off the mortgage.

They’re often:

• Behind on payments

• Facing foreclosure

• Inherited homes with upside-down equity

• Recently divorced with split equity

What to listen for:

• “We’re behind, but we’re trying to avoid foreclosure.”

• “I just want the payments off my back.”

• “We’re not going to make anything on this sale anyway.”

How to position it:

“We can take over the payments and keep the loan in your name temporarily, but you’d be off the hook for day-to-day costs. We’d handle taxes, insurance, and everything else.”

It’s not about the seller getting paid. It’s about giving them relief and saving their credit.

2. Wraparound Deals: Best for Sellers Who Want a Premium or Passive Income

These leads often don’t need to sell, but they’re open if the offer feels worth it.

They’re often:

• Tired landlords

• High-equity owners who want a monthly income

• Sellers with assumable or low-interest mortgages

• Burned-out Airbnb hosts

What to listen for:

• “I’m not in a rush, I just want the right deal.”

• “I’m fine renting it out, but it’s a hassle.”

• “Would I still be getting something each month?”

How to position it:

“What if you kept getting a monthly income, but didn’t have to deal with tenants, maintenance, or property taxes? We could structure it like a sale that still pays you over time.”

These sellers want control and a good return. Wraps let you offer both.

3. Leaseback Deals: Best for Sellers Who Need Time or Stability

These sellers want to move, but not yet. They’re stuck because the logistics scare them.

They’re often:

• Elderly homeowners downsizing

• Families with kids in school

• Sellers waiting on new construction

• Anyone needing cash before they can move

What to listen for:

• “We want to sell but don’t know where we’d go.”

• “We’d need some time to find the right place.”

• “I wish I could sell now but move later.”

How to position it:

“We can close now so you get the money, but let you stay for X days after. Some sellers even do a free leaseback to make the transition easier.”

This isn’t just a real estate tactic. It’s an empathy play. You’re removing the biggest emotional blocker.

Bonus Lead Type: Sellers With Unrealistic Price Expectations

This is where creative finance shines.

The seller wants $400K. The comps are $350K. A cash deal is dead, but a creative offer might work.

Offer $400K with low monthly payments or delayed closing.
Show them a net sheet with multiple options.
Let the terms make up for the price.

Sometimes, your offer doesn’t need to be lower. It just needs to be structured smarter.

How Goliath Helps You Spot Creative Finance Leads (Before Your Competitors Do)

Goliath automatically flags creative finance leads using behavior signals, tags, and motivation cues:

• Missed payments or pre-foreclosure status

• “Price too high,” but still engaged

• Inconsistent timeline (wants to sell and stay)

• High motivation but low equity

You’ll see which sellers are open to flexible terms, and exactly when to present them.

And when you follow up with the right message at the right time?

Creative turns into closed.

Creative Finance Is About Solving the Right Problem

• Don’t pitch Subto to someone with no mortgage.

• Don’t offer a leaseback to someone who’s already moved out.

• Don’t waste time trying to convince sellers.

The right creative structure feels like common sense because it matches their situation perfectly.

And when you get good at spotting the signs?

You’ll turn more leads into deals that others walk away from.

Because it’s not just about getting creative, it’s about being strategic, with empathy, timing, and precision.