Updated over 7 years ago on .
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Legal Marketing for Lease Options - Without a RE License
I am looking to scale on my sandwich lease options (purchase) deals this year. I also want to really make sure to do everything by the books. I do not have a real estate license..yet. What is the legal way, pref. in PA to market a sandwich lease option deal that I have under contract with a seller to potential tenant buyers?
I know I've heard it's illegal to market the house if I'm not the owner. Much like traditional wholesaling, I should market the contract itself. Otherwise I'm acting as a realtor/broker. I'm currently doing 3 sandwich lease options and havent had issues, but I jumped in head first by learning from YouTube videos because I so desperately want to get involved with real estate investing in anyway possible. And since I dont have much money and am rebuilding credit, this seemed like the best fit. Brandons book on no and low investing does not go into much detail at all about legality and techniques and most videos do not either.
Thoughts from experience?
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If you are doing a sandwich LO then you are in the deal. You are leasing and have an option to buy the house. If your tenant /buyer defaults, so to speak, you have the obligation to make good on the payments until your lease is up. You do have an interest in the property. Don't market it like you own it and tell the seller what you are doing.