Lease Option Information

Lease Option Information

Can you believe this? After all the time I have been on here and all the times I have gabbed, this is the first time besides my journal (be sure to visit it and say "Hello") Smiling that I have actually STARTED a new thread.

Lease Options are getting to be a very popular subject so since that is what I am also specializing in, I have bookmarked many of them on here and compiled a number of sources that I thought I would share. It will just make it a little more simple. I am sure that there are some that I have missed, so be sure to add anything you would like. It will be appreciated by many.

http://www.deangraziosi.com/real-estate-forums/local-networking-and-disc...

http://www.deangraziosi.com/real-estate-forums/local-networking-and-disc...

http://www.deangraziosi.com/node/12463

http://www.deangraziosi.com/real-estate-forums/marketing-buyers-and-sell...

http://www.deangraziosi.com/node/10010

http://www.deangraziosi.com/real-estate-forums/title-searching-and-other...

http://www.deangraziosi.com/real-estate-forums/marketing-buyers-and-sell...

http://www.deangraziosi.com/real-estate-forums/buying-foreclosures-reos-...

http://www.deangraziosi.com/real-estate-forums/rental-and-cashflow-prope...

http://www.deangraziosi.com/real-estate-forums/contracts-and-offers/6905...

http://www.deangraziosi.com/real-estate-forums/financing-and-credit/1446...

http://www.deangraziosi.com/real-estate-forums/financing-and-credit/1446...

http://www.deangraziosi.com/real-estate-forums/financing-and-credit/1446...

http://www.deangraziosi.com/real-estate-forums/financing-and-credit/6550...

OK, you asked for it! LOL!

Now the best contracts I have found are on this site: www.ilrg.com They are state specific and really not very expensive. I am going to try to attach the ones I got (save you some money). Mine are for CA. But the main reason is I have added some good clauses that you may want to add even if you are in a different state.

Be sure to use the lead disclosure form and get it signed. Federal law.

And the Owner's Disclosure Form- owner is legally obligated to tell you about any problems with the house.

Besides your Lease With Option to Purchase form you want to have a separate Residential Rental form that does not mention L/O. This is in case you ever have to evict your T/B (tenant/buyer)--much easier and cheaper than a foreclosure.

I have also put some ads that I have run on CL for buyers in my journal.
http://www.deangraziosi.com/real-estate-forums/investing-journals/59128/... Please do not use them in Los Angeles. I am more than happy to help you but please don't use "my" ads on my home turf.

A very good book to get more in depth info is Wendy Patton's "Investing in Real Estate With Lease Options and Subject To Deals". I got mine on Amazon used. Also if you go to wendypatton.com she has a lot of free articles that give you lots of great info.

That's all I can think of right now. This should keep you busy for awhile.

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


(No subject)

This was a copy of contracts I removed so as not to be in violation of Copyright Laws. (just in case)

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Karen

Thanks for the good info.

Steve.


Karen !!

Where on earth did you find the time??!!
Now how do I steal that form out of cyberspace? Laughing out loud


Contracts

Removed by me.

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Contracts

Removed by me.

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Michael

helpme2 wrote:
Where on earth did you find the time??!!
Now how do I steal that form out of cyberspace? Laughing out loud

Try cut and paste

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Thanks Karen

This may be the first time but what athread you started. Thanks for all the info i will definately have a ton of reading to get done. You really have been working on this. I actually mentioned the separate rental form on another thread and people told me I was nuts glad I'm not the only one. I heard it at one of the seminars we were at and he said exactly what you did it makes it easier to get the tenat buyer out. Thanks for sharing.

__________________

"Nothing can stop the man with the right mental attitude from achieving his goal; nothing on earth can help the man with the wrong mental attitude."

Shaun Omar
DSD Investor Group Inc

www.dsdinvestorgroup.net
www.decoscapesinc.com
http://h1.flashvortex.com/display.php?id=2_1315708016_24517_144_21583_70...


Karen

You need to watch some of those lines they are going to far. Or are they strings so we can reach them and pull them off the screen. Great forms!!!
Hee hee!! Smiling


Lease Option Contract

This contract I have tailored for when I am the BUYER!

If you are assigning it to a third party (sandwich L/O) you will want to modify it. Remove the and/or assigns and change #8 to say This contract is NOT assignable.

If someone actually wants to have someone take it over for them, say it's a military guy who is reassigned and he has given you a $10K option fee and he wants his brother to step in and take his place, it is certainly up to your discretion to allow that. But this just gives you the power of approval.

There may be some other spots too. Just check it.

Karen

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


awesome!

Thanks so much Karen!

Very much appreciated!

Valerie

__________________

Valerie

“And will you succeed? Yes indeed, yes indeed! Ninety-eight and three-quarters percent guaranteed!” ― Dr. Seuss

"I believe in angels, the kind that heaven sends; I am surrounded by angels, but I call them friends" - Unknown

My journal: http://www.deangraziosi.com/real-estate-forums/investing-journals/59110/...


Thanks Karen

Hi Karen,

Thanks for taking time to help us with our paperworks and websites. Great job. Cute comment helpme2. Karen, also like your never to old to be words. God bless

__________________

Shellsell


L/O form

Will that lease option form work for the C-L/O too or do you have a special one for that?? Or do I need to go snitch it from WP. Evil


Wow!

Well said "Where did you find the time?" is right! I can't believe all the information in one place! It's no wonder you got your wings! I must say Karen you are awesome! Thank you so much for all the work you put in and are sharing with everyone. You have a big heart. So glad you joined the DG family. I am not concentrating on lease options now, but with all this info I might change my mind. Thanks again.

__________________

Life is full of choices, and these choices become your reality... YOU are in control of your future! YOU decide the direction your life will take. YOU have to make things happen, no one will do it for you!

When opportunity knocks, will you answer?


Hey Karen, Thanks for all

Hey Karen,

Thanks for all the great information. My partner and I just started getting into lease options and we currently have 2 under control right now with tenants in place. I wish I would have seen this post sooner, but I definitely know now to put a standard lease in place and I like the extra additions to the standard lease with option to purchase contract.

I have a question for you though. Do you ever ask the tenant for a security deposit on top of the option fee? We were able to get $2500 and $3500 as an option fee on both properties so far, but I was thinking about the security deposit. For instance the last deal we just did, we had the tenant give us $4900 when signing and moving in. $3500 for the option and $1400 for the first month's rent. Should I have asked for a security deposit on top of all this? Just curious how you work all that out!

I am also currently learning a lot about mortgage assignments and lease option assignments. When I become more familiar with this and start doing some deals I will start posting more info about it here soon!

Thanks again for all the great content!

__________________

Check Out my blog at: http://www.theflipkid.com

"We succeed because we pay our dues to meet our goals, and in doing so we expand our personal genius"

Larry F.
The Flip Kid


Michael

helpme2 wrote:
Will that lease option form work for the C-L/O too or do you have a special one for that?? Or do I need to go snitch it from WP. Evil

This will work for the Co-operative L/O, too. These are not Wendy's. Hers are not this good.

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Larry

When you have a rental agreement you should always have something for the deposit. Just put in $1.00 if you want.

Then if they don't end up buying the property that is all you have to return since the option fee in non-refundable.

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Thanks

Karen, you are awesome! Thank you so much for all the work you put in and happy to share with everyone. You have a good heart. I am not concentrating on lease options now, but I Will Thanks again.
Veronica


Already Bookmarked

Karen....even before I read the first comment. I will definitely be researching on this more in depth later! Thank you for the great info!

__________________

You gain strength, courage, and confidence by every experience in which you stop and look fear in the face. Do things you think you cannot do. Tough times never last, but tough people do.

See Where The Journey Never Ends At: http://www.deangraziosi.com/real-estate-forums/investing-journals/69250/...

Chase Brooks
www.brooks-investments.com


Lease Option Information

Great job Karen, but take it easy on Dean's servers! Eye-wink All that typing....did ya get snowed-in? (they mentioned NOTHING about your area getting this most recent nationwide storm, fyi, we're having roofs of large commercial buildings cave in due to all the weight from all the recent precip.)

THANK YOU for sharing.

__________________

Attract Private Investors to fund your deals so you can do more deals while using Other People's Money (OPM). For more info go to:
http://www.mcssl.com/app/aftrack.asp?afid=1029023

Regards,
John <>< Future DG & DL REI Billionaire
ASPEN PROPERTIES "I BUY (ALL CA$H), HOLD, LEASE & SELL Commercial and Residential Properties" ANY LOCATION, ANY CONDITION, ANY PRICE
http://ctaffordablehomesforall.usapropertywholesale.com/


Weather Report for Southern CA

Today was high of 60 degrees. it was actually a little chilly!

This week end is predicting high 70s. No roof collapses due to sunshine.

I do not know how all of ya'll are handling the weather back there! I would be in my house and not come out 'til May!

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Many Thanks Karen!!!!

I'm planning on doing L/O's as well and this helps tremendously!!! We now have a fantastic guide to succeeding in one area of RE thanks to you Karen and countless others on this wonderful site with other areas of RE. Let's use this and other threads to change our lives in 2011! God Bless!


Karen

You never fail to amaze me. This thread is outstanding...complete and investor friendly! Thank the Good Lord for mentors like you.

K, I do have a couple of questions believe it or not Sad . Para 13 states no commissions will be paid, and my ? is What if the buyer and/or seller is working with an agent? How do they leagally compensate them?

Also you said to assign the L/O we need to remove and/or assigns and state that the agreement is Unassignable. Im a little confused which is not unusual.
Lol

This page is def bookmarked and Im sure the assigned reading will raise additional questions.

__________________

Steve

We seldom get what we want, but we will always get what we expect.


Just on time

This info came just on time Karen. I have decided to add a Lease Option path to my wholesaling business and this info that you posted is a big help. Thank you very much. Blessings to all. LA

__________________

Everytime you repeat the words "I CAN DO IT" with conviction, you cancel or override your fear and increase your confidence. By repeating this affirmation over and over, you can eventually build your courage and confidence to the point where you are unafraid. -Brian Tracy-


Zounds!

Lotta good info, kareng. Can you tell I like exclamations?
peace,

__________________

Dana w/ Crossroads Solutions LLC
http://www.DanaLeigh209.com
http://www.DanaLeigh209.net
http://www.ULostThis.com
---
I am direct to the VP of a $100 million dollar open-ended debt and equity fund which actively writes checks to fund businesses with an EBITDA of at least $1 million a year. We fund also have access to up to $500,000,000 for the purchase of distressed real estate, specially commercial $7,500,000 and up.


Steve

steve guy wrote:
You never fail to amaze me. This thread is outstanding...complete and investor friendly! Thank the Good Lord for mentors like you.

K, I do have a couple of questions believe it or not Sad . Para 13 states no commissions will be paid, and my ? is What if the buyer and/or seller is working with an agent? How do they leagally compensate them?

Also you said to assign the L/O we need to remove and/or assigns and state that the agreement is Unassignable. Im a little confused which is not unusual.
Lol

This page is def bookmarked and Im sure the assigned reading will raise additional questions.

We do not charge commissions for what we do. We make our money on the option pmt and if we are doing sandwich L/O on the added monthly pmt and on the end.

If the buyer or seller is working with an agent, that is their agreement, not yours. You are not involved in that. Of course, if you want to offer something to the agent ($500-$1,000 or even as much as a months rent) I am sure they will be glad to take it. If the seller has the house listed, once the house sells at the end of the option, the seller may still owe the agent a commission. But again, that is not up to YOU.

On the L/O contract at the top where it has the lines to fill in names for sellers and buyers, you will see that I have added and/or assigns. If you are doing a sandwich lease, leave it there when you do the lease between you and seller but remove it when you do the second half b/t you and the tenant/ buyer. Then, on the line further down in contract where it says you can assign this contract, leave that in when you sign with seller--when you do a contract with T/B change that line to say This contract is not assignable.

Still confused? Or does that make it clearer? If not, don't feel bad asking.

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


Karen

Thanks. Smiling Didn't think those from the other source were.


State Specific Contract

Remember, this contract I have posted is state specific to CA! Be sure to go to the site I posted or somewhere to get one state specific to YOUR state.

This one I posted because I added clauses that give more protection and thought they might be some that you want to use. The contracts from that site are editable. And, no, I get no kickback from them if you order. Just thought their product was good. I looked at a lot of sites before I chose theirs.

By the way, I got it (the contract) approved by someone who knows much more about all this than me.

__________________

"You're never too old to be what you were meant to be!"

www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...

"Shining Like a Star & Dancing on Sunshine"

"Shoot for the moon! Even if you fall short, you'll still land among the stars!"


It always best....

to take any contract form to your attorney and ask him to make it legal for your state and situation. Karen just gave us an example of one that she uses in her state. protect yourself and always have your attorney double check things.

__________________

"Nothing can stop the man with the right mental attitude from achieving his goal; nothing on earth can help the man with the wrong mental attitude."

Shaun Omar
DSD Investor Group Inc

www.dsdinvestorgroup.net
www.decoscapesinc.com
http://h1.flashvortex.com/display.php?id=2_1315708016_24517_144_21583_70...


You are a

walking, talking L/O genius. I like your improvements to your contracts. (Thank God I don't live in the crazy state.) You have everything in place, now let's go find you some property!!

__________________

Always Looking to Acquire Houses | Always Looking to Amaze Investors


TY

thanks for the lease opt info. Karen

Robert


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