What Is a Lease-Purchase?

A lease-purchase is nothing more than a sales agreement with an extended closing date, paired with a lease to govern the relationship between initial occupancy and closing.

Why Would a Seller Offer a Lease-Purchase Arrangement?

There are times when a homeowner wants to sell but is unable to, for a variety of reasons. If the reason has to do with insufficient equity in the property, a lease-purchase may be a good alternative.

Depending on how the contract is structured, you may be able to capture some equity on the front end from the resident's deposit, and over time, to the extent that monthly payments exceed the rental rate. You can also build in contract provisions for sales price acceleration to match valuation at the time of closing.

The lease-purchase method of selling is often considered complex, but it isn't difficult with professional guidance. If you want to know whether this method is right for you, contact us for a confidential, no-fee consultation.

Why Would 3 Options Realty Be the Place to Go for This Service?

At 3 Options Realty, we specialize in working not only with sellers and buyers, but also with residents and landlords. Our experience and operating systems for leasing and managing property are one of the principal differences between our brokerage and a traditional one.

A critical component of a successful lease-purchase is the property management aspect. If the management period of the lease-purchase doesn't go well, the deal can collapse. While we build in security provisions for these situations, those provisions are typically only enough to make the seller whole, then you're back to starting over. If you want to actually see the deal through to closing, 3 Options Realty is the place to go.

Contact us for a confidential, no-fee consultation to find out if a lease-purchase is right for you.