Hello Everyone,
I’m new to investing and learning. I was talking to my wife about Lease Option our home that we live in. She said what if we sell on a L/O to a tenant buyer at specified price, and the TB is ready to do his option. When he goes to the mortgage company they will order an appraisal on the home. My wife then asked
“What if the amount the TB owes is more than what it appraised for? The bank wont allow the higher amount?”
What could we do in a situation like this where the value may have dropped from the economy? How could we prevent this from happening?
Any assistance is appreciated. … I didn’t know what to tell her.
thanks,
Rich