Seller Benefits

In a lease option, the property owner leases the property to a tenant with an option to purchase at or before a set date. The purchase price is usually set up front, and the tenant often makes an up front payment as a sort of down payment.

A rental rate is typically set at least a few hundred dollars higher than the fair market rent, and the excess amount is often credited toward the down payment if the tenant exercises the option to purchase.

Here are some features and benefits for the landlord/seller:

• Top sales price, even if demand is low: You attract more buyers who are willing to pay a premium because of the exclusive financing terms and value you're offering.
• Higher than usual rent: Since you are flexible on your financing terms and are offering a tremendous value, you can demand a higher than usual rent.
• Positive cash flow: Since you can demand a higher than usual rent, your positive cash flow will increase.
• Non-refundable option money: When a tenant/buyer executes (signs) a Lease Option 2 Buy contract, you receive an non-refundable option deposit that is yours to keep should they default or decide not to buy.
• Save thousands in fees: Since you are selling your home by owner, you will avoid paying a 5-10% realtor commission which quickly adds up to thousands of dollars. You will also save on advertising costs because your home will be sold a lot faster.
• Highest quality tenants, minimum risk: Because you are renting to tenants who have a vested interest in your home, they think like homeowners and tend to take good care of it.
• No maintenance, no landlording headaches: Tenants who have a vested interest and believe they are a homeowner may feel a "pride of ownership" that encourages them to pay on time, perform routine maintenance and make improvements to your home.
• Tax shelter is held intact: Because you remain on the deed until the option is exercised, you maintain all of the tax benefits of ownership.
• Largest market of buyers: You are marketing your home not only to traditional buyers, but also to renters and investors. These three groups make up over 95% of people whom buy real estate.
• No vacancies: When you advertise your home as a Lease Option 2 Buy your phone will literally ring off the hook. Typical turnover time is days or weeks instead of months or even years.
• Peace of mind: It is safer than conventional rentals because of the quality of the tenants and their vested interest in your home. It also means that someone is living on-site who will watch and guard your home against fire, theft, vandalism, etc.

If you would like more detailed information about placing your home on our Option 2 Buy list, please contact us at: (209) 476-8300.   Se Habla Espanol (209) 476-8500.