Lease Out Or Wait To Sell?

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I've got a foreclose that I've rehabbed. I've had a FSBO sign in the yard for about 4 days, and have had three people call on it (so far I haven't showed it to anyone). Today a lady calls and was asking if we would lease it to her until she gets her income tax refund, at which point she will buy it (she mentioned a six month lease).

I'm a bit leary of this situation, as you can never tell what the deal will be in six months. My only thought is that she gets in there, trashes the place, then decides she doesn't want to buy it. How "safe" would this idea be?

Comments(2)

  • tclifford1012th January, 2004

    If you are wanting to sell, then sell...DO NOT lease as proposed. You are right, something will happen and you will get to rehab all over again. I would LPA to them only if I was having a hard time selling, and if I got a large down pmt. Good Luck

  • InActive_Account12th January, 2004

    i haven't done a lease option yet, but based on what i read on this site, you are in a very much advantaged position if you ask for a downpayment (non-refundable), say, 3k, or you may call it option money. that will be credited if she will exercise her option at the end of 6 months. since the house is half-owned now (by virtue of her option) she should take care of the house.
    you also have to raise a few thousand dollars on your selling price because you have considered her offer on your house.
    just my thought.

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