Lease Option

2 Replies

Hi all,

I just need a guidance on how to help my coworker with her current situation. She bought a house in Las Vegas for 235K in May 2015 (8k down, $1588 monthly that includes mortgage, insurance and tax) with the intention of using it as a vacation rental so the house is fully furnished . Her business did not go as well as she had initially thought it would. Few weeks after her purchase, she moved to northern CA for a job. I would like to help her out but rental market value is only $1300 and there is no equity but there is a potential/predicted increase in value of 8%. I was thinking of doing a lease option for 3 yrs. with purchase price of 235k where I could put down 8k and have monthly payments of 1600. I would then offer it to an end user as lease option for 3 yrs. with down payment of 15-20k and monthly of 1800-2k. Is this plan viable?

Hi Lalaine,

what was the issue operating it as a vacation rental? Is there a problem with the HOA?

I heard from several different sources that vacation rentals in LV are doing very well (as long as you don't have HOA issues), and since the house is already furnished, why not continue with this?

Jean