If you have to share that money to get the deal, that’s one thing. But to offer to split it without needing to, you are cutting your income in half. Don’t be so generous.
As for a start date, give yourself enough time to find a t/b. But then also have a clause that allows you to cancel at any time in case you can’t move the property. No risk to you.
AJ, About the start date. If you give yourself 90 days to find a t/b and you find one in 30 days then do you change the date? Or maybe you straight rent for 60 days and then the Lease Option starts? herbster
In an attempt to prevent confusion, I’d like to know if this stipulation is sufficient enough to not need a separate lease agreement.
Basic Rights: Optionee has the right to exercise this Pure Option and convert this into either a purchase (via a Purchase and Sales Agreement) or a lease (via a Lease Option Contract). In addition, to these terms Optionee has the right to sub-lease or assign this agreement (via a Lease Option Contract) to a third party of his choosing. In accordance to these rights and at Optionee’s sole expense, Optionee reserves the right to advertise, market, place a sign in the yard, and do any means necessary to find a third party resident for the above premises. Optionee also has the right to enter the premises in making determinations of personally exercising this Pure Option or in order to show the premises to a respective third party. Consideration for these rights will be the services and costs aforementioned provided by Optionee.
And if this works, when the time comes to draw up a lease agreement between the seller and tenant/buyer, do I need to structure that for them or should I just let them go at it themselves?