Lease Option/Assignments Option Fee, Option Deposit, Option Consideration, Assignment Fee

6 Replies

Lease Option/Assignments: Option Fee, Option Deposit, Option Consideration,Consideration fee, Assignment Fee, Lease Assignment, Option Assignment

I'd love it, If a few of the experts in the Bigger Pockets forums would provide some insight into these terms, that I have heard tossed around 'like the S.S. Minnow in a hurricane". Can you guys define what they are and at what juncture in the "Cooperative Assignment" processed will they be utilized.

Also, if process is done correctly, and to the satisfaction of "Tenant Seller" and "Tenant Buyer"...A Win Win...at what point can I bank my earnings for time and effort for putting deal together?

John Jackson, Brian Gibbons, your input: Highly Encouraged!!!!

Thanks in Advance,

Paul

"Lease Option/Assignments: Option Fee, Option Deposit, Option Consideration,Consideration fee, Assignment Fee, Lease Assignment, Option Assignment"

Okay, so the terms option fee, option consideration, consideration fee and assignment fee are essentially the same thing. It's an assignment fee and an option consideration if you are assigning the option. It's your assignment fee and it's counted as the option consideration when they go to buy the house, meaning it's counted as down payment.

Lease assignment is used when you are assigning your option in a cooperative assignment, same as option assignment.

In a simple cooperative assignment like what I believe John Jackson does and Micheal Carbonare, you sign the option agreement and lease agreement with the owner, then you simply assign both of those to the tenant/buyer you find.

If you are doing a sandwich lease option then you sign an option agreement and lease agreement with the owner, and then a separate option agreement and lease agreement with the tenant/buyer you find, putting you between them.

Originally posted by @Paul Wilson:
Lease Option/Assignments: Option Fee, Option Deposit, Option Consideration,Consideration fee, Assignment Fee, Lease Assignment, Option Assignment

I'd love it, If a few of the experts in the Bigger Pockets forums would provide some insight into these terms, that I have heard tossed around 'like the S.S. Minnow in a hurricane". Can you guys define what they are and at what juncture in the "Cooperative Assignment" processed will they be utilized.

Also, if process is done correctly, and to the satisfaction of "Tenant Seller" and "Tenant Buyer"...A Win Win...at what point can I bank my earnings for time and effort for putting deal together?

John Jackson, Brian Gibbons, your input: Highly Encouraged!!!!

Thanks in Advance,

Paul

This is such a broad question, I put this video together, no links!

http://reiskills.evsuite.com/bp-paulwilson-lease-option-assignment/

Best to you Paul,

Brian

@Misty Weaver and @Brian Gibbons...Thanks for your prompt replys. Brian, as always, thanks for your vids you've included in these forums and for a personal video answer...

Im piecing all of this together and will take a few practice-runs with all the paperwork needed, before game-time.

Originally posted by @Paul Wilson:
@Misty Weaver and @Brian Gibbons...Thanks for your prompt replys. Brian, as always, thanks for your vids you've included in these forums and for a personal video answer...

Im piecing all of this together and will take a few practice-runs with all the paperwork needed, before game-time.

You are welcome Paul!

And Misty, what an awesome website you have! Everyone should check out her wordpress Seller/Buyer Site for Lease Option Assignments!

Props to you girl!

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