How To Propose Rent To Own To Landlord?

KimInAustin profile photo

HI, all! I'm new to the forum and glad I found you!

My fiance and I live in a cute little house in a great neighborhood. It needs a lot of work, but is appraised very low given the neighborhood it's in.

We've been renting for a year and half. When the lease runs up in March, 2005, we would like to start leasing to own our own home (we're also considering seller financing).

My question is how do I propose this t our landlord? She owns lots of properties, and they're all paid in full, so she's just making profit. She also pays taxes, does repairs, etc., and some big repairs will be needed soon (pier and beam foundation to be adjusted, roof, etc.).

How do I propose? Thanks!!!!

grin

Comments(6)

  • kenmax9th August, 2004

    simply ask her "would you considered leasing to own any of your properties" and see what she has to say. she will understand your question and answer according. if she says yes, well take the ball and run. if she says "no" then ask her "may i ask why" then you will know what objections to work on.......kenmax

  • colvegas9th August, 2004

    8-) Well first read the book How to make big money investing in real estate w/o cash, credit or rehab by David Finkel and Peter Conti is is a good book on Purchase Option investing and it emphasizes negotiating techniques you can use to get tenant buyers etc.
    In the meantime you can bring up rent to own idea and if she is at all creative she may go for it especially if you are handy and can do some repairs. YOu may have to put up a option payment of a couple of grand, but the idea is you will pay a slighter rent to be credited to your down payment when your lease is up next year so that could help you in buying this house!!!lShe gets upfront money from you as security and you will take care of the house for her since you will own it not just be a renter. If you prove successful in doing this negotiate this offer to her other properties or maybe you can partner with her with the purchase option strategy. Check what is legal in your state. You have some time until March to work out the specific details. If you have shown good payment history I think you have a good chance of being successful with her. Do not push it if you encounter resistance make her relate back to you so it is not a hard sell but a mutual agreement. This is good if she does want to eventually sell the house. No realtor fees or commissions as long as you are both covered in the Purchase Option contract. Call me if I can help further cell 702-400-7632 -Colin

  • LeaseOptionKing9th August, 2004

    You can use most good Contracts in Cali, but you just have to add a lot more Disclosures. With Lease Options, you have to disclose just like you are actually selling the house. Flipping still works. Most people flip nicer properties, but junkers and rehabbers still exist in certain areas. They have a strict foreclosure law to protect the Seller that they enforce to the letter, and the fines for not disclosing are steep. If you are the Buyer in a sub2, you could get away with making it simple (although you will need to use a Grant Deed, not a General Warranty Deed), but once you sell to your end Buyer, be sure to disclose fully. I would never be a regular landlord in CA, because of the long wait period before you can evict. I'm pulling up a string of mine here that lists the Disclosures in detail.

  • Niceguy19th August, 2004

    Hi

    I would like to know where I can get a copy of foreclosure law for the stare of California

    Anyone?

    Niceguy

  • cameadows9th August, 2004

    Almost everything you need on the actual laws in California are on their website:

    http://ca.gov/state/portal/myca_homepage.jsp

    Interpretation is another thing. Make sure you research and/or talk to someone in the know....

    Chris

  • wannabe219th August, 2004

    Quote:
    On 2004-08-09 18:33, Niceguy1 wrote:
    Hi

    I would like to know where I can get a copy of foreclosure law for the stare of California

    Anyone?

    Niceguy
    Actually a question for the Foreclosure forum, but here are a few links for you...

    Section 890, Rent Skimming, http://www.leginfo.ca.gov/cgi-bin/waisgate?WAISdocID=09641922965+0+0+0&WAISaction=retrieve

    Section 1695, Home Equity Purchasing, http://www.leginfo.ca.gov/cgi-bin/waisgate?WAISdocID=09649523355+0+0+0&WAISaction=retrieve

    Section 2924, Trustee's Sale Procedure, http://www.leginfo.ca.gov/cgi-bin/waisgate?WAISdocID=09652523476+0+0+0&WAISaction=retrieve

    Section 2945, Foreclosure Consultant, http://www.leginfo.ca.gov/cgi-bin/waisgate?WAISdocID=09656723677+0+0+0&WAISaction=retrieve

    Cheers!

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