Download PDF Lease Option To Purchase Real Estate (Earl Huses Real Estate Series)

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My question is this; did they do anything illegal by putting my property for sale on Zillow without my permission? I checked with a realtor friend of mine and found out they never entered into the MLS system. If you have an option you can advertise the option not the property unless it says in the paperwork. Thank you. They are not on title. They simply hold a non-transferable option that they cannot sell. First I would check to make sure if you allowed the lease option to be transferable in the first place. That should be stated and addresses on your lease.

If there is no language prohibiting it, then it is allowed. We don't know what your agreements say. She doesn't need to transfer the option to sell the house. The option gives her the right to buy it until the day it expires. If she can find a buyer, she can exercise her option, then turn around and sell the house to her buyer. The option gives her "control" of the property.

So, I think, yes, she is free to advertise and sell the house. If would be easier and less costly for her if she could sell the option. But she can still sell the house even if the option is non-transferable. Why does it matter to you? You've already transferred your rights for the property when you sold the option to her. As long as she exercises per the terms of the agreement, you're going to get what you agreed to.

It matters to me because I hold title to the house, and they currently do not have the financing to close on the property. They are under a tightly woven contract that was developed by the Ron LeGrand company. They cannot sell or reassign our agreement in any way shape or form. I take issue with seeing my home placed on the market without my consent.

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I have been cautioned myself about the legalities of rushing to advertise a home you have under contract, but haven't yet closed on. As Jon pointed out, they can always find a buyer and double close using transactional funding Kind of ironic Jay Bowman Sounds like you were hoping to screw your tenant over using your 'tightly woven contract' and now you're upset because they might actually get what you agreed to give them. Don't you want them to exercise the option? Whats the point in doing a lease purchase option if you don't want them to exercise it?

I am in the process of locking someone in on one of my properties and I hope they exercise it. Doug, I'm not trying to "screw" anyone. In fact, I could have taken the home back due to several late payments. My goal from the beginning was to allow this single mother of 2 to get into a house, through this lease option, that she couldn't afford otherwise. She was supposed to get a settlement from her X, but he has yet to pay.

She has no money to gain the financing necessary to close on the property. I made an offer to return her down money and release her from the option, but her realtor boyfriend advised her not to. Instead, I believe he is behind the idea of flipping the house and putting some money in his pocket. My contract is designed for end users, not for other investors. Having said that, if she can close on the property under the rules of our contract, I'm okay with that. Incidentally, I did hear from my attorney last night.

They do not have the legal right to advertise the home for sale and have taken it off Zillow. Unless you hold title to a property or have a specific agreement with the title holder, you cannot advertise it. Is the option exercisable at anytime? As stated above, maybe they are planning a double close. If they are exercising their option, I don't think their is much that you can do. Have you reached out to them? I would make a call and ask them, "I noticed you have the home for sale, are you exercising your option? What is your plan?

Just so everyone is aware, Florida is a state where purchase contracts and options are transferable unless stated otherwise. A "tightly woven" option contact that is so restrictive that unless they personally can close on the house they will lose it? Frankly that sounds predatory to me. So, even though they have bought and paid for this option from you, which should give them full control over the property including advertising and selling it, it doesn't.

Seems that if they sell it and you get your money, they are doing you a favor not having to deal with showing. If they disclose the property is under a purchase agreement, then they are not false advertising. If your worried and they are behind in rents I suspect that's the issue. Then you wouldn't even be talking about this.

I would think a tightly woven contact would keep all of this from taking place. Looks to me like you have some options. Jay Bowman. This is responsible behaviour by a tenant buyer who does not intend to stay in the property. Consider it a win. If they actually assign the option or sublet the property and it causes a breech in your contract than have your lawyer return possession to you and find another Tenant Buyer. Jay, I had to reply to this older post to clarify a couple of things.

Your talking to investors,you can tell yourself you are trying to help this woman,but your surley not. She did you the favor by catching up. Now you want to break your promise because she might make money from her investment. From our innovative designs to features and options that allow homebuyers to customize a home, we are in the business of creating happy homeowners.

Inside Real Estate (Nov 14th, 2018)

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Real Estate Open House - What Is a Lease Option - Part 3

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Treat a Lease Purchase Like You’re Buying the Home

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