Hi everyone! So I have a seller interested in doing a L/O. I received a text from the seller asking: If we sign off next week, will August be the first of the 36 months term. Now I told him I'll make payments 90 days after signing agreement. My questions is: Is August the first month of the 36 month or is it October since that's when I'll start making my monthly payments? Thanks in advance!
Confused. The Lease Option agreement is 2 separate agreements, not one combined agreement. You should start them both at the same time,
I agree with @Joe Villeneuve your lease and your option contract should be done separately but simultaneously.
I consider a lease with option 3 contracts - a lease,, an option agreement and a sales contract - they are all tied together but seperate. What does your lease say about when you make payments? the lease is what determines your payments to the seller. The option just says when you have the right to purchase the property.
90 days is great and good work for getting that. If possible always make it contingent on a buyer. If not 90 days is plenty of time to locate a good tenant/buyer.
Hope that helps,