L/O - Need Quick Advise
I have signed a rental agreement and an Option to Purchase agreement to lease out one our properties. The tenant wishes to sublet the property to a tenant-buyer and wanted us to allow him to sub-let/assign the option agreement - I am ok with that. He also wants us to sign a Purchase and Sale agreement - my questsions
Does'nt that make him a Buyer as opposed to a Tenant? (I will have to foreclose on him rather than to evict him)
Is there any advantage for me to sign the Purchase and Sale agreement ?
I need to get with him in the morning - any suggestions will be appreciated.
Hi,
It appears your client is trying to lock you in on a price or cloud the title so you can't borrow against it. Accept the L/O agreement and sign a Memo of Agreement so he can record it. Place an addendum clause stating if payment is late longer than 30 days, a charge of $10 per day will be applied. If payment is not made after 45 days, the Leasee agrees to vacate the home and all monies will be voided.
Remember, the contract needs to be a win/win for both parties, if you have any doubt, add a clause that will favor your position.
Also, you might want to talk to a local lawyer just to cover you assets....