Imagine the IDEAL real estate investment. It would have:
- No down payment
- No risk
- No negative cash flow (positive cash flow)
- Appreciation potential
- Principal reduction
- Low-to-no maintenance costs/effort
- No value to your creditors
- No reporting on your tax return
- No debt in your name
- No management
Whether you are buying or selling property on Lease Options, you need a special set of paperwork to conduct each of these transactions associated with your lease options deals. First, by eliminating the need for a Realtor, you save 6-7% right off the top! On some properties this amount could be your entire profit! By using Lease Options with your tenant- buyer you “cut out the middleman” (Realtor) and save substantially.
Let's review one of my Single Family Purchases using a lease option:
- Option Price $80,000
- Five year Option
- $1000 Option Consideration
- Today's value $140,000
- Profit = $60,000
The following is a list of all the forms you will need to complete a lease option deal like the one above:
- Advertisement for newspaper
- Claim on option deposit
- Memorandum of option contract
- Option agreement contract
- Option credit letter
- Release of option
- Rental agreement
- Buying interview form
- Color flyer
- Neighbor handout
- Option cancellation letter to tenant
- Option to purchase beneficial interest
- Rent-to-own yard sign
Learn more about Options and Lease Options as soon as you can. Real estate investing does not get any better than this! Knowing more about real estate options makes you better than 95% of the investors in the United States.
Since real estate options are flexible, low risk, highly leveraged contracts, they are probably the smartest real estate concept in the investor’s arsenal. They carry tax advantages unavailable in other contracts. They can be used in conjunction with Contracts for Deed, Leases, and Buy-Back Guarantees.
Imagine what a competitive advantage this will give you in all of your Real Estate Deals? Do not wait any longer. Start using this unique and life changing investing technique NOW!
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