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Why the Morby Method Real Estate (aka the Stack Method) Works
Most investors walk away when banks say no. Bad credit? Too many mortgages? Self-employed with messy income? The deal dies.
But smart investors don’t quit — they stack strategies.
That’s why the Morby Method (named after Pace Morby) is so powerful. It combines:
- Seller financing (owner carryback)
- Subject-to (taking over existing mortgage)
This “stack” creates terms that work for both the seller and the buyer — no bank needed.
We call it the Stack Method because it’s all about stacking creative solutions until the deal works.
Real-Life Atlanta Example: The House Nobody Could Touch
A seller in Atlanta had a problem property:
- Existing mortgage: $180,000 at 4% interest.
- Asking price: $250,000.
- Investor problem: Banks wouldn’t finance — house needed work, and seller wouldn’t budge on price.
Here’s how an investor structured it with the Stack Method:
- Took the mortgage subject-to (kept payments at 4%).
- Seller carried back a $70,000 second note at 6% interest.
- Investor put down just $5,000.
- Rented the property, netting $450/month cash flow.
Three years later, refinanced after appreciation. Paid off the seller. Kept the original mortgage’s equity spread.
✅ A deal banks rejected turned into a long-term cash-flowing asset.
Why Investors Use the Stack Method
- No banks. Great for those locked out of traditional financing.
- Save low interest. Keep existing cheap loans in place.
- Seller gets paid. They walk away with a monthly income stream.
- Flexibility. You can stack terms until both sides win.
As Pace Morby himself says: “Every seller has a problem. The Stack Method gives you more tools to solve it.”
Morby Method Real Estate: Risks & Challenges (Where We Help)
- Legal/contract complexity. Multiple notes require clean paperwork.
- Seller fear. Many don’t understand subto or carrybacks.
- Exit strategy. You need a clear refinance or resale plan.
Our Solution: We provide gap funds, EMD support, and deal structuring so investors can actually execute the Stack Method without losing deals.
Best Practices for Atlanta Investors
- Target sellers with low-interest existing mortgages.
- Be transparent — sellers must understand who’s paying what.
- Always use an attorney or title company familiar with subto and carrybacks.
- Don’t over-leverage. Only stack if cash flow and ARV support it.
FAQs About Morby Method Real Estate
Q: What is the Morby Method?
It’s a strategy that stacks seller financing and subject-to into one deal.
Q: Why do you also call it the Stack Method?
Because it’s about stacking creative tools until the deal works.
Q: Is it legal in Georgia?
Yes — as long as contracts are written correctly and lenders are notified.
Q: Do I need money or credit to use it?
Very little. You may need gap funds or an EMD, but not full bank financing.
Q: Does your company support Stack Method deals?
Yes — we provide gap loans, proof of liquidity, and help structure paperwork.
