Hello—
In my studies as a newbie, I have been reading about lease optioning (as a selling strategy)-- in Mr. Locke’s very useful S2 course, for example. (Thanks John!!!)
What I’m wondering is what kind of option money one should try to get in this soft market.
Here’s an example:
I would like to help a friend try to lease option his house since he’s more or less underwater. His payment is $1070 at 6% on 125K. House is worth 125-130 I’m guessing.
I’m thinking the rental market might bear 1150 rent. Do you get a little more when you lease option? And again, what kind of option money are folks willing to pay in a zero-down climate?
Thanks very much in advance. Can’t tell you how wonderful this site has been for me!
Randi