How to Lease Purchase Your Home
Over the last few months I've had a number of past clients ask me whether a "lease purchase" would be viable to help them sell their home. Though it's not right for everyone ... it can be a win-win real estate deal, and it can help solve a serious problem for today's frustrated sellers.
Here's how it works:
In its simplest form, a lease-purchase agreement is nothing more than a written contract to purchase real estate over an extended period of time, typically not exceeding 36 months. It is usually coupled with an agreement to allow the purchaser to occupy the house and pay rent on it while he is completing the purchase.
In contrast, a lease-option agreement is primarily an agreement to rent real estate. That agreement contains a provision granting the renter the option of purchasing the real estate at some point in the future if he so chooses.
Here's why it's working today:
Traditional lenders have tightened...