Lease option question

4 Replies

Hello investors,

During a lease option, should I already have the tenant buyer in place beforehand? What does a mortgage broker charge to facilitate getting the tenant buyer qualified to purchase when the option is due? How much to Provide credit repair services?

David, 

No you don't need one in place however it would be to your advantage to have interested buyers lined up.

There is no charge for a buyer to get qualified by a loan officer. I do suggest they speak with one as soon as they can so they can be prepared when the option is due. 

Credit repair businesses are all over. You'll have a better idea of what needs to be fixed after speaking with the loan officer. 

Thanks Mike,

So when I have a lease option agreement in hand, and i do have a tenant buyer in place, should I take the contract to escrow PRIOR to the tenant buyer signing it?

@David M. I agree with what @Mike Delprete stated above. It is beneficial to the investor to already have a tenant buyer interested before you close on the purchase. It make holding time a lot shorter. You can advertise on Craigslist that you sell properties using lease options and then explain it. You could start getting a buyers list that way and then when you have the property you email your buyers list and then you have several people look at the property. This can help you lease option it out much quicker.  We have a list of probably 100 people interested in buying from us on the lease option.

Also, you can connect them with a loan officer that can help them know what they need to qualify. I noticed you are in Arizona. I have a good referral for this in Mesa if you want to private message me.

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