Lease purchase option?

[Stephanie Barcia]

Hi. We currently put our home up for sale. A couple wants to purchase it, but asked if we would consider a lease option while they attempt to sell their current house. We are open to doing that, but what percentage down payment should we ask for in order to protect us? And, would the monthly payment go toward the purchase of the house?

[Neil Aggarwal]

I think you should write a lease for a given monthly amount.

Then, when they are ready to buy, put together a sales contract and terminate the lease.

It is two separate transactions. No part of the lease is applied to the sale or down payment.