Lease Option To Buy-WATCH OUT!!

First of all, i would like to welcome you to Dean's family! Sorry to hear about your situation! However, i can't really tell you what to do because if there's was contract in placed, the tenant should have been evicted in the first place if he/she has failed to honor the contract. On the other hand, i don't know the contents of the contract therefore make it more difficult to provide helpful information.

You already mentioned that getting an attorney involved would be the best avenue to pursuit. Given the information provided above, the tenant singed the contract and that contract binds him/her to the conditions of the contract whatever that conditions might be. The tenant defaulted and then became a tenants again, and got to a point where he kept paying late. That's when the tenants should have been evicted, once again depends on the conditions of the contract. I think that's why it's very important that the contract spell out specific conditons to ensure that you the owner is protected by such behaviors.

I'm sorry that i'm not an attorney and i'm qualify to give you any legal advise other than have an attorney to look at the contract and hopefully this mess will go in your favor. I have not done any lease options as my properties are being rented out (Rental Agreement) but i'm taking this a learning lesson for me, because i have tenants acquired about doing a lease options. I for sure will have to have my attorney to do the contract when that time comes so that i will not have to go through the same situation you're going through. That's terrible this mess now has prevented you from selling your home. Good luck and keep us posted.

Lloyd

Just for everyone's info. Contract specifically stated conditions and Buyer/Tenant signed them, however anyone can bring a suit for any reason. Even though they may not win they sure can tie up the property closing, costing lots of money. I love that Dean teaches to take action and FORGE ahead, but be careful out there!! I let everyone know what happens.
JP

I think i'm missing something?, why would the former(loser) tenants be bringing a law suit on your property for no reason at all? Did you guys get into a dispute? SULLY

The only dispute was thst they wanted their NON-Refundable Option fee returned. Which they were not entitled to.
JP

There's where the REAL problem Lies, well it all makes sense now, i feel for ya, SULLY

Maybe a person needs to weigh out which is going to cost more, in the long run.
Then again, there's the principle of the thing.

Wishing you luck. And thanks for the warning.

Rina

Why would they file a Lis Pendens, I thought this only came into action during a foreclosure?? I might be wrong. Did they know they lost the security when they signed up, If they did why are they being jerks?? A non-refundable is what it says, Right??...Jan

No one can really fiqure it out yet, as it was just filed on Friday. But, apparantly they along with their attorney thinks they should get TITLE to the home!?! Thanks for all the comments. We will keep you informed.
JP

Talk about creative financing. Man, some people have no ethics at all. What a way to try to steal this house. I hope you win a teach this bunch of trash a good lesson. My best to you....Jan

My attorney went to court and filed an emergency hearing. The judge was in our favor! Made the other party remove the Lis Pendens and we closed escrow yesterday!! They still feel they have a case of "breach of contract" which is a joke. We could actually go after them and their attorney for holding costs ,etc, will they were being jerks. Will let you know on that. However, lesson to be learned about doing Lease Purchases, they can be tricky and need lots of disclosures signed by all, which thank God, we did have in this case.
JP

Thank you, again, for the warning and sharing the experience with us.
Congratulations.

Rina

An important note, understand the contract and do exactly what is says. By allowing the tenants back in while they were technically in breach of the original contract you can unintentionally alter the original deal. If you let them be late a few times, it is harder for you to enforce (legally) that now they are delinquent and should be evicted. Landlords and investors can't be nice guys, live by the contract.