Lease option?

[Thomas Payne]

Hi, I currently am about to do a lease option on this guy who needs to sell his house quickly. I know a tenant-buyer who will easily give 10K to rent the place with 10% of his rent per month going into equity. Is it generally a good idea to do lease options or do you guys like to stay away from them?

[Jason Hanson]

One of the keys to success in this business is always giving a seller multiple offers.

First I give them an all cash offer which is always a huge discount off of their asking price.

Second, I give them a subject-to offer which is a much higher offer.

People may think they want all cash, but when they see that they make a lot more money with your second offer they take it a lot of the time.

Since I specialize in sub-2 I lead people down that path and make it very advantageous for them to accept that offer.