How to set up a lease with option to buy

( note: use this is as a primer, seek further advice from your Real Estate broker/tax advisor, lawyer, insurance agent, and mortgage holder…I saw a few errors of fact, p ).

A lease with option to buy is a lease that allows a tenant the right to purchase the property for a specific price within a certain time frame. In most lease-option situations, a portion of the rent is applied to a future down payment. Lease options are most popular among buyers who don’t have enough funds for a down payment and closing costs. Here is how you set one up:

 

addditional reading/checklists:

http://www.ironcladrealestate.com/lease_option.php

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