If owners are willing to rent, it indicates that they are not looking to sell their homes quickly.
Those are the people to approach with a lease option idea. However, you should expect that the owner will ask for a non-refundable cash deposit up front to lock in that option.
An option contract of any kind has a time limit. Typical lease options for homes run 2-3 years. At the end of that option period, you must be prepared to purchase the home.
That means at the end of the option period you will need to come up with sufficient financing, either via a lump sum cash payment, or a mortgage, that allows you to pay for the home in full.
If you know you will not have sufficient cash resources to purchase the home at the end of the option period, you will have to have a good enough credit rating, along with sufficient income and / or assets, that will allow you to obtain a mortgage.
You may want to talk to a mortgage broker before you consider a lease option to see what state your credit is currently in and what steps you may need to take to alleviate it for the future.
Also, a lease option involves not only that non-refundable lump sum up front payment, but a monthly rent. Often, a lease option may involve an additional amount above the monthly rent that is paid monthly and is put aside toward the down payment. That sum also becomes non-refundable.
With all of this in mind, if you think a lease purchase will work for you, ask your West Palm Beach real estate agent to speak to landlords of homes that interest you and see if they are willing to consider this idea.
Marc Jablon, The Jablon Team
Re/Max Complete Solutions
There are a few sellers offering lease options at this time but it is not very popular at the time due to the market we are in.
If you would like to receive a free list of homes available offering lease options or seller's financing, feel free to contact me.
Sandra Gold - Realtor
I have seen several owner financing options on the market recently and have been told it is the ideal market for that type of home buying. A lease option is a little different but when you get into "creative financing" nothing is really written in stone so it is just an open negotiation between the buyer and the seller. I would love to talk with you about these options since I have negotiated several recently and find them to be an excellent WIN-WIN!
Keller Williams 561-523-6696
The "flip side " of the equation is : What are you looking
for such an arrangement to do for you.
Contact me directly and I'll be glad to discuss your
prospects and housing goals, along with best
options! Glad to help. The consult of course is free!
Bob Brubaker Highlight Realty Palm Beach County Fl. 561-876-6649