Lease Options - Lease Purchase Sales

Lease option sales were popular financing instruments in the late 1970s and early 1980s. They were primarily used as a way to circumvent alienation clauses in mortgages. Proponents claimed the sale was not really a sale because it was a lease; however, courts argued otherwise.

Today, options to purchase, lease options and lease purchase agreements are three different financing documents. The variances are state specific and not all states have identical laws. Before entering into an agreement with a seller, buyers should obtain the advice of a real estate lawyer. The information below is an overview and is not meant to be construed as legal advice.

Basics of an Option

    * Buyer pays the seller option money for the right to later purchase the property. This option money may be substantial or as little as $1.
* Buyer and seller may agree to a purchase price now or the buyer may agree to pay market value at the time the option is exercised. It is negotiable. However, most buyers want to lock in the future purchase price upon inception of the option.
* The term of the option agreement is negotiable, but the common length is generally from one year to three years.
 * Option money is rarely refundable.
* Nobody else can buy the property during the option period.
* The buyer can sell the option to somebody else.
* If the buyer does not exercise the option and purchase the property at the end of the option, the option expires.
* The buyer is not obligated to buy the property.
Basics of a Lease Purchase

    * Buyer pays the seller option money for the right to later purchase the property. This option money may be substantial.
* Buyer and seller agree on a purchase price, often at or a bit higher than market value.
* During the term of the option, the buyer agrees to lease the property from the seller for a predetermined rental amount.

 * The term of the lease purchase agreement is negotiable, but the common length is generally from one year to three years, at which time the buyer applies for bank financing and pays the seller in full.
 * The option money generally does not apply toward the down payment.
 * A portion of the monthly lease payment typically applies toward the purchase price.
 * Option money is nonrefundable.
 * Nobody else can buy the property unless the buyer defaults.
 * The buyer typically cannot assign the lease purchase agreement without seller approval.
 * Buyers are often responsible for maintaining the property and paying all expenses associated with its upkeep, including taxes and insurance.
 * The buyer is obligated to buy the property.
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Essential Information About Home Rental Agencies

Home rentals are commonly provided by the property owners who own properties and want to rent out their properties in order to earn rent. There are many home letting agencies that provide you with the respective services at nominal fees. The services provided by them definitely consist of the elements like organization, coordination and management of the rental needs of people. Some of the services provided by them can be listed as accounting, legal paperwork, advertising and finding the right location. The property owners are supposed to pay certain amount of fees to these agencies for the services they provide. You can check out for some extra information online. There are many online agencies that provide rental services at discounted rates. Letting agencies Glasgow provide the most efficient services and assistance.

There are many types of home rental services and you can choose the one that fits under your requirements and preference. Some of the agencies specialize in certain kinds of services like finding the right kind of homes or property for long term and short term tenants, business or seasonal needs. Other types of services include managing properties for home owners, managing vacation rental homes and advertising and coordinating rentals. The agencies that are into property management also take care about things like home cleaning, repairs and maintenance of the property and landscaping and garden maintenance. Some of the agencies are not into property management. They are involved in activities which are included under the management and coordination of rentals. This is mostly in case of rental agencies that manage vacation property rentals.

There are certain factors that need to be considered before hiring any home letting agencies. The major consideration is the reliability of the services and the types of properties that are managed by them. It is better if you hire well reputed and reliable companies and agencies so that you do not have to face any problems at a later stage and get the right kind of services for the price you are paying. Make sure that the agency has prior experience in managing the type of houses you want to rent. Some of the companies handle only luxury homes while others handle cabins, beach houses and homes in middle class neighborhoods.

The main function of the letting agencies is to work in close association with the property owners and tenants so that they can provide them with the right kind of services at the right time. They need to provide the tenants with the right kind of property and rental services. They charge fees for the services provided by them. Hiring professional home rental services is beneficial for both the home owners and tenants as they do not have to worry about anything related to rental services and procedures.
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