Lease Option Through Agent??

Question

Hi all,

I recently made my first ever offer (yayyyy!), but it was not accepted (darn).

I want to counter-offer with a lease-option structure, but am unsure how to go about it, since I’m working with an agent and want to compensate her for all the hard work she’s done, even if I don’t end up exercising the offer down the road.

Any suggestions?

Lili

Michael Thompson · Answer

Not really.  Once again they should get the 3% per side if you close in the time frame.  I would think of a number that would be worth their while and fits within your budget.  Every part of the country is different in that regard, what may be a good amount in Indiana is not good in California.

Lili Thompson · Answer

Thanks @Michael Thompson, that makes a lot of sense. Do you have any ideas on the % of purchase price/fee one might offer the realtors for the lease option work?

Michael Thompson · Answer

Most Realtor associations have forms for payment.  As an example I charge a fee to my buyers when they want me to write an offer for an off market deal on their behalf and use our standard form.  Also, to make your offer stronger you better be willing to pay both agents a fee up front to deal with something (Lease Option) they can't always wrap their mind around.  Typically the agent will still get paid their commissions if you exercise the option but as you know it doesn't always occur.