Option And Lease Option
I have come across a potential deal;
The owner has agreed to lease option for a max of 2.5 yrs. Now I am planning to ask him for an option to buy and after getting the agreement signed to show it to my buyers. Once I get a tenant buyer who likes the house I will then sign a LO with the seller and then with the buyer.
I donot want to sign the LO with the seller before getting a tenant buyer. Is this doable?
Pl. advice and thanks in advance.
Yes it is. If you want to secure a house, write up an l/o agreement that is contingent on you finding a tenant/buyer for the property. I have done it several times. Also, your agreement must have a sub-let clause.
Thank you. I appreciate your quick reply
Another way to go is to write up a L/O agreement that provides for a negligible penalty if you don't perform. For example, I don't even PUT weasle clauses in my purchase agreements: I just use $10 earnest money, and if I don't perform I lose my $10. Just make sure the contract clearly states that forfeiture of deposits paid are the SOLE remedy for breech.
Can somebody send me a L/O agreement
Thanks in advance
You should contact a local attorney who is familiar with real estate transactions for your area.
This is the best way, as any form you pull off the net may not be 100% valid in your state/county/city.
There is a lease option agreement on this site that is available under products and services, then the freebies section. It is assignable, and it allows you to sublet. There is a place where you can type in provisions and contingencies that you need to add.
Candace
Just an added note: All Leases are able to be sublet barring a provision prohibiting it.