Updated over 6 years ago on . Most recent reply
Possible Lease Option in Alaska
Hey guys, I have a lead that can possibly turn into a sandwich lease option. I'm just starting in real estate investing and have never done one. I understand the concept but I'm not sure about the details. What should I look out for? How would I find renters? How does execution of the option work at the end of the lease? Tips and advice would be helpful, thanks! (Never bought a home before).
Most Popular Reply
What do you mean by sandwich lease option?
Is someone selling you the property on a land contract? Are you asking if you can then sell it to someone else on a lease option?
Regardless of my interpretation, here's answers to your other questions
Ways to find renters
- Local property managers
- Craigslist
- Zillow
- Realtor
The execution of the lease option works as follows
- Get a well written lease option contract from a lawyer
- Have the renter fill it out and pay you your non-refundable "lease option fee"
- Determine the length of time the lease option is good for. The renter will need to secure financing for the remaining purchase price on the home by whatever date you agree to.
- If the renter doesn't secure financing, then you can charge fees and extend it, or terminate the agreement and evict them.
- Rinse and repeat