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How To Avoid Spam Robots
Despite the fact that Federal legislation (the CANSPAM act) made it illegal, harvesting email addresses from the web using automated robots remains alive and well. Spammers who need fresh email addresses release software spider programs that comb...
How To Get FREE Publicity Whenever You Want !
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Regardless of the business you're...
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When small businesses fail, the wreckage is often assigned to undercapitalization, among other mistakes. Seldom is failure attributed to a lack of effective communications that might have modified the behavior of sales prospects in a positive...
"Starting Your Home Based Business on a Shoestring Budget"
Starting Your Home Based Business on a Shoestring Budget Copyright © 2003, Stone Evans, The Home Biz Guy http://www.pluginprofitsite.com/main-3506 Whether seeking a supplemental income or a full-time income, many folks have undertaken the task to...
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Lease Options: Why buy when you can rent!
A lease option agreement gives you the right to take possession of a property and then buy it later on. This is an alternative financing arrangement because you take possession of a home but you don’t actually own the home. The seller, in this case the homeowner, has an obligation to sell the property to you at a predetermined date, but you are not obligated to buy.
Who would benefit from a lease option? A lease option is a great deal if you’re a renter but you don’t want to live in an apartment, looking to buy a home but need some time to clean up your credit or you want to buy a home but need time to come up with a sufficient down payment.
You can earn rental income One you sign your lease option agreement and take possession of the home, you can also rent it out or sublease it to another tenant and make a profit off the rental income. In this case, you would have to charge a rental rate far above the rate you are paying to the legal homeowner to make a profit.
If you decide to got the rental route, be aware that you are in fact becoming a landlord. Do a quick search online or check with the local housing authorities in your city to find out your rights and obligations, and also how to structure your rental agreements before you start looking for prospective renters.
Low Down Payments The down payment required to enter a lease option agreement is usually less
than, but not greater than the amount required on any other type of rental property in your market. That means that you can take possession of a home for as little as one month’s deposit.
Try before you buy If you’re undecided about a certain property, or the neighborhood, a lease option is the perfect way to try before you buy. You can structure a deal for one year, two years or even five years. Move in, pay your monthly rent and see how the property feels.
Purchase it at the end of your lease agreement or walk away and move on to something else. In either case, you can live in a beautiful home and get a lot more space than you could find in an apartment.
Build Rent Credit Most lease option agreements include a generous rental credit towards you down payment. For example, if you are paying $1000 per month in rent, the owner might be willing to credit $300 or $400 per month towards your down payment.
If you had a traditional rental agreement after $1,000 per month in rent, you have $0 in credit and would still need to get a sizeable down payment when you are ready to buy a home.
Where can I find lease option deals? You can do quick search on any major search engine or check your local rental listings.
About the Author
This article may be freely distributed as long as there's an active link to http://www.rapidlingo.com Syd Johnson Editor
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