L/O Closing Question
When you find a tenant/buyer for a lease option, basically what you have is a lease contract with option to buy at later date addendum, correct? I understand the lease contract should be signed in front of notary public but no one goes to a actually closing table at a title compnay until the person actually buys the property after the 2 or 3 year lease option right? So there is not a breach of due on sale clause by changing title name. Am I off base here? 
They are not going to call the loan if you rent out the property unless their contract specifies such. You are correct.
Good Luck,
Shawn(OH)
Thanks Shawn for the response. I just have seen lots of posts about triggering the DOS clause and trying to figure ouit if I missed a ****Must Reach Senior Investor status before posting URL's***hanks BUd
I appologize, I just gave you wrong information. Any agreement in regards to Real Estate involving an option does indeed trigger the DOS clause. However, as discussed exhaustively on this site, violating the DOS clause is not illegal. It just means the bank has the right to accelerate the mortgage. If they would happen to do that is is your responsibility to pay it off, either cash or refi.
Good Luck,
Shawn(OH)
180 Degrees,
This may help. If I can not get the deed or land contract, then I buy with a lease/option contract, and sell to my tenant buyer on a lease/purchase contract. On paper, it makes the deal seem more solid, but they sometimes default anyway, which is not a bad thing!!
Prosperous investing,
td