Own a house w/lease option couple. Lease period 3 years. They want to exercise option now, 2 years, which is OK w/me. At closing surprise, the buyer is the tenants’ parents. They are going to buy house for her and husband. I said OK but tenants have to release me from the lease/purchase contract to prevent a breach of contract. Atty says by mutual agreement, both parties can assign the lease/purchase contract to parents and complete transaction. Anyone run into this? I have call to my atty who is out of town until Mon.
Are the parents taking title to the property, or are the parents just bringing the purchase money to the settlement table while title will be in your tenant’s names, or, are the parents bringing the purchase money to settlement with the expectation that they will be on title with your tenants as co-owners?
Seems to me that if your tenant’s names end up on title, you don’t have to worry about any issues with your contract.
Parents name on will be on the title.