Lease Purchase Basics
â€¢Buyer typically pays the seller option money for the right to purchase the property in the future. This option money may (should) be substantial.
â€¢Buyer and seller agree on a purchase price, often at or slightly higher than fair market value.
â€¢During the term of the lease, the buyer agrees to rent the property from the seller for a predetermined rental amount.
â€¢The term of the agreement is negotiable, but the common length is generally from one year to 36 months, at which time the buyer will apply for bank financing and pays off the seller in full.
â€¢The option money usually does not apply toward the down payment and is non-refundable, although that may change when we represent the Lessee/Buyer .
â€¢A portion of the monthly lease payment typically applies toward the purchase price.
â€¢No other party may purchase the property unless the buyer defaults and the buyer typically cannot assign the lease purchase agreement without prior seller approval.
â€¢Buyers may be responsible for maintaining the property and paying all expenses associated with its upkeep, including taxes and insurance.
Bottom line, get a good agent to help with a Lease/Purchase Contract; it will likely save many headaches and more than a few dollars. Please call or email if I may help further, Good Luck!
If there's a reason you feel the need to look at that, fix the problem and buy. If that can't be done right away, rent and do it in the future as renting is better because at least you don't have a crazy upfront down payment. When you do get in the buy mode - do your homework and ask questions, get with a trusted lender and agent and consider their advice.
My two cents - Hank
Feel free to contact me. I have a few foreclosures and short sales in the same area that may interest you greatly and save you a lot of money. Nonetheless, if you are moving in April, you may want to start getting pre-approved now. I have a few great suggestions to speed up your approval process and simultaneously help you improved your credit in anticipation of the move. I am a native of Georgia and have been licensed since 1990. Feel free to go to http://www.SonyaJonesSellsHomes.com and click on the community tab for more information for potential relocation clients. I have a few great referrals who can get you started. I specialize in lease purchases and owner financing. I totally expect to provide you with quality service when an if you decide to call me. You are valued and I would be honored to assist you and your family as it is such an important move. I just want it to go as smooth as possible for you. firstname.lastname@example.org
Sonya D. Jones, Realtor
Re/Max Greater Atlanta
This property is only available for sale. I'll be happy to send you a few lease/purchase properties for review. The best deals in Atlanta will be to purchase a foreclosure.
Feel free to contact me @ 404-317-4804 for more details.