Pace Morby Review | Subject-to Real Estate Coaching Pros, Cons, and Alternatives |IPPEI

Updated On 2022-08-17

Subto Real Estate Investment is a coaching program by Pace Morby, which focuses on how to acquire and hold property without taking out a loan by using the subject to method of creative financing. We’ll get to the point and say that the Subto coaching program is not a scam, as it actually has something valuable to offer.

A common question asked with “gurus” claiming huge financial success is why they spend their time teaching courses. Most gurus would give a “giving back to the community” kind of answer, but Pace comes outright admitting that the reason he invests on his course is that most of his investing deals come through his students.

In my opinion, subject-to as taught by Pace Morby is like Federal Aviation Administration safety directives, where one unexpected notice can ground a capable aircraft, mirroring a due-on-sale clause that can be enforced and force sudden refinancing despite solid cash flow. It’s like GDPR enforcement, a labyrinth of disclosures, servicing steps, insurance changes, and paperwork where a tiny compliance slip triggers headaches, audits, and costs that erase the thin spread you planned to keep.

This article reviews Pace Morby, outlining his background as a real estate investor, contractor, and TV host, his coaching tiers and strategies, student experiences. It also details his Subto coaching program that teaches creative real estate financing through “subject-to” deals (acquiring properties by taking over existing mortgages without formal assumption). It’ll also compare how Pace’s complex, hands-on investing model compares to simpler, more scalable business models like local lead generation.

What Are the Pros and Cons of Pace Morby?

Pros	Cons
Pace Morby is a highly experienced, active real estate investor.	Price is extremely expensive, especially for beginners trying to get into the real estate industry,
Access to private Facebook support group with 5.4K members. Regular updated uploads of scripts, contracts, and spreadsheets. Pace uploads various documents created by his attorneys.	There is no refund policy for the program.
10-25 hours of zoom calls in a week.	Dubious reviews trying to market the course. Many legit negative reviews of the program from students.

Who Is Pace Morby?

Born in Ogden, Utah, Pace Morby, also known as the Subto Storyteller, is a real estate investor who has 14 income streams across real estate, lending, and insurance. He received wide attention through his free video training on YouTube that teaches viewers on how to invest in real estate using the subject to method. His YouTube account has millions of views, 87.1K subscribers, and over 1000 videos.

Pace took business management in Weber State University and Utah State University. Pace has a wealth of experience and has founded many successful businesses in the past:

At the age of 23 at the beginning of 2005 up to 2008, Pace was the owner of Arcadia Holdings based in Salt Lake City, Utah. This is a holding company for gas and oil manufacturing companies that made over $15 million in yearly revenues and employed over 200.
In 2011 Pace founded LifeNumber, which was a technology company that provided a uniform way to identify patients with their PHRs and EMRs. He was able to sell the company in 2012.
Pace was the founder and owner of AZ Contracting in Phoenix, Arizona, from 2011 - 2019. The company primarily bought and sold residential properties for rehabbing and flipping.
From 2016 - 2019, Pace was a franchise owner of HomeVestors. As a franchisee, he bought hard-to-sell homes paying cash to owners. He then rehabbed and sold or leased the homes.

Pace started the Subto Coaching program in late 2019. In 2021, he co-hosted the TV show Triple Digit Flip on A&E with Jamil Damji . The show is about making $100k or more using fix and flip.

Currently living in Phoenix, AZ, Pace has amassed $32M worth of properties across the United States. He built over 300 new homes with over 500 Fix and Flips, and as a general contractor with a license, conducted over 7,000 home improvements. Morby has performed over 1000 Creative Finance jobs and purchases, besides 500 wholesale assignments.

Between 2016 and 2022, Pace and Jamil spent about $600,000 on travel, lodging, and marketing to organize successful grassroots events and provide free lessons to people all around the United States.

What Do You Get With the Subto Real Estate Coaching Program?

As with most high priced courses, applying to the program starts by booking a scheduled call. This call will gauge your experience, financial situation, and motivation. During this call, you will also be offered the membership packages and price:

Core - $7800
The package is a 6 weeks video course that gives step-by-step processes in making contracts, managing marketing, scaling the business, and types of exit strategies. You get access to the private Facebook group and daily zoom calls with the Pace or other mentors.
Standard - $10,800
This package includes everything that comes with the Core membership plus other strategies such as Astroflipping, probate, etc., bringing the training to 11 weeks. Included is a virtual assistant for 3 months, a CRM for free, and 1 free transaction coordinator to do all your paperwork.
Mastermind - $19,000
This full package comes with everything included in the other memberships, plus a transaction coordinator for all your paperwork. You get 1 trip to Phoenix to spend 2 days with Pace Morby in person and go with him on a ride-along. In addition, this membership gives you eligibility to join any Subto Mastermind live events.

Pace has a free ebook called *Subto Seller Spells.*Inside the book are lines to say and tips on how to sell a subject to deal to a property seller.

The ebook is about dealing with sellers who is using the objection of needing an attorney to look over the deal or asking for too much money. It also gives you a tip on how to sell the subject to deal to the seller.

What Does Pace Morby’s Subto Coaching Program Come With?

The Subto Coaching Program comes with training materials of 15 different real estate investment strategies. The focus, however, is with the subject to real estate investment strategy.

Subject to is the process where a buyer essentially assumes the seller’s remaining mortgage balance without making it official with the lender. It is buying houses without having to qualify and assume the loan. You don’t need to show bank and tax records or proof of funds.

There is no official agreement between buyer and seller, meaning the buyer is not legally obligated to pay the mortgage. However, since the deed is transferred to the buyer, the house will fall into fall closure if they do not pay the mortgage.

How Do You Make Money With the Subto?

Pace teachers 7 ways to make money with Subto exit strategies:

Rent - you essentially rent out the property at an amount higher than the monthly mortgage.
Lease Option - you find an investor to agree to pay you above the monthly mortgage until they write you out and get refinanced with their lender.
Wrap-Around - You sell the mortgage, typically with a $15k - $35k down payment, to someone who can’t qualify for their own mortgage.
Sub-Tail - you basically fix and flip a property with an existing mortgage.without getting a loan by taking the seller’s mortgage for the duration needed to fix and flip the house.
SRRR (subject to purchase, rehab, rent, repeat)- works like the BRRRR method but without refinancing. No need for a hard money loan and no need to wait 6 months to refinance,
Group Home - group homes provide higher income potential.
Airbnb - turn the property into an Airbnb which has high income potential with the right location.

What Are the Advantages and Risks of Subject-To Investing?

Advantages for the buyer	Risks for the buyer
You don't have to qualify for financing. Chance of finding a low-interest mortgage rate.	You face losing your property if you don't pay the monthly mortgage in a timely fashion.
Fewer up-front and closing costs. No need to deal with banks, title companies, agents, or loan officers.	The lender/bank can call the loan due. If you cannot pay within 30 days, they can initiate foreclosure.
Since a portion of the mortgage has already been paid, you can quickly build equity in the house.	You must purchase a new insurance policy naming you or your business as the insured.

Advantages for the Seller	Risks for the Seller
A subject to real estate deal might be the best solution for sellers facing foreclosure.	As the mortgage is still under the seller's name, you will ruin their credit score if you don't pay the mortgage responsibly.
The seller will sell the property as is. Seller doesn't need to spend more time and money on repairs.	The lander/bank may enforce a due on sale clause which requires the outstanding mortgage to be paid upon sale. This will prove less profitable for the seller.
If the seller is an investor who wants to finance a new and more profitable deal, a subject to deal will help them quickly dispose of a property.
Sellers are not responsible for the closing costs in subject to deals.

Who Is the Subto Real Estate Coaching Program For?

Beginners who have little to knowledge in real estate investment who want to try subject to investments, or other strategies.
Active real estate investors who have a hard time making progress with their business and are looking for other strategies.
Experienced real estate investors who want to scale or expand their business using different investment methods.

How Successful Are Subto Real Estate Coaching Program Students?

The reviews from students of the Subto program are leaning towards the negative side. The program has a bad reputation hit when there was an influx of generic positive reviews on trusted review sites like biggerpockets.com and trustpilot.com. These dubious reviews have the same posting time and date, which means a bot posted them. (click to enlarge)

You’ll find a few legit positive reviews such as these.

And a lot more negative ones like these.

There are, of course, testimonials on their official website.

Final Verdict: Is Pace Morby’s Subject-to Investing Strategy a Legit Path to Financial Freedom?

Pace Morby’s Subject-to investing strategy is a legit path to financial freedom, but it may not be the ideal path for those looking for simplicity, scalability, or passive income. Subject-to investing demands constant deal sourcing and seller negotiation and careful navigation of due-on-sale clauses and paperwork, and ongoing hands-on management.

How Does Subject-To Real Estate Investing Compare to Local Lead Generation?

In my opinion, subject-to investing as taught by Pace Morby looks like a shortcut to equity, but hidden variables like due-on-sale clauses, repair costs, and tenant issues often eat into your expected returns, while local lead generation delivers value passively without tenants, mortgages, or legal entanglements.

Comparing subject-to investing to local lead generation is like TSA security lines, where unexpected secondary screening, paperwork checks, and rule changes can stall your trip at any moment. It reflects the due-on-sale clauses, escrow surprises, and compliance friction of subject-to investing. It’s like Swiss Federal Railways, a system that runs to the minute after the track is laid and the schedule set. That matches ranked sites that deliver predictable calls on autopilot, no ad spend, no daily tinkering.

Why Is Local Lead Generation the Better Long-Term Wealth-Building Vehicle?

Local lead generation is the better long-term wealth-building vehicle because it combines high profit margins, low overhead, and scalable digital real estate you fully control. Unlike subject-to deals, you don’t need to negotiate with sellers, take over debt, or worry about legal gray areas and housing regulations. Once your site ranks, it acts like a virtual landlord that never complains, doesn’t require maintenance, and brings in recurring income for years. For those who value time freedom and asset ownership, local lead gen stands far above the complexity and risk of creative real estate investing.

One of my clients is Torrance Elite Roofing, 2204 Artesia Boulevard, Torrance, California 90504, 310-634-1946, https://www.torranceeliteroofing.com/. When 4 of my leads closed for $68,656, I earned $3,432 from 5% commissions that month.

Want to escape cold calling, contracts, and closings? Build digital properties with local lead generation which lets you earn while you sleep.