Lease Option Contracts

[Darnell Robinson]

I spent money I didn't have on a weekend long course that promised to show me how to fill out a LEASE OPTION CONTRACT on the advertising,  but to my dismay,  we were never taught how to. I was told on he first day to go home and take the first step by calling some sellers arranging a meetup & walk through. After this step, I expected the teacher to show me how  structure the lease option contract so that when I actually met the seller, I'd be prepared to help them. 

I made calls, found a senior woman in distress in a profitable home that was 80k in default on her loan. Now, I'm stuck because the course is over, I have a meet up with this lady in 2 days and I don't know how to write up a lease option to help her. I have other investors that I could get for the buyer end of the contract,  but now I'm totally lost. 

I feel like my integrity was not respected by his teacher nor my image and future business identity. 

Any help would expect greatly appreciated

[Brian Gibbons]

@Darnell Robinson

I would contact Chris Goff in TX www.REIandMe.com

RE Lease option assignments

You want to do a lease option assignment in California or if you are licensed list a property via a lease purchase for a 3% fee.

Being non licensed (AND I DO NOT ADVISE THIS) ...

Enter into a "Letter of Intent to lease and option" with the seller. Then have your ATTORNEY draft a lease and option. Have the seller sign this lease option with your LLC.

Then have your Tenant buyer be shown the property by a licensed individual, perhaps a licensed property manager.

Then sell the lease option agreement to the Tenant Buyer.

And realize that in California the new Commissioner of the BRE has a "hard on" for bringing cavalier newbies of REI on CRIMINAL not civil penalties for brokering contracts.

See

http://dredefenselawyer.com/california-bureau-of-r...

LOS ANGELES – The Bureau of Real Estate is focused on the “biggest and baddest” violators of the law, according to State of California Real Estate Commissioner Wayne Bell, who spoke at a program hosted by the California Bar Association’s Real Estate Sales & Brokerage Sub-Section of the Property Law Section.

At the program, entitled, The New Bureau of Real Estate and Its Enforcement, over 150 real estate licensees and real estate attorneys gathered on Monday to hear the new California Bureau of Real Estate (CalBRE) Commissioner speak about his current agenda.

INDIVIDUALS PRACTICING REAL ESTATE WITHOUT A LICENSE MAY RECEIVE CRIMINAL CHARGES

Commissioner Bell emphasized that his goal is to promote a fair, competent, and law-abiding real estate industry in California. He explained that unlicensed activity will receive more attention.
Commissioner Bell wants to pursue criminal actions against unlicensed individuals that violate real estate laws. In the future, he said, individuals accused of unlicensed activity may receive a “Notice to Appear” that requires an appearance in criminal court. Commissioner Bell plans to accomplish these objectives by prioritizing the Bureau’s enforcement efforts. He also wants to make the Bureau’s activities more transparent.

A NEW COMMISSIONER FOR A NEW BUREAU

In July, CalBRE became the successor to the former California Department of Real Estate (DRE). Commissioner Bell, an attorney and licensed real estate broker, was appointed as Chief Officer of CalBRE by Jerry Brown earlier this year.

COMMISSIONER’S ROLE AT THE CALIFORNIA BUREAU OF REAL ESTATE

The Commissioner manages a staff of approximately 335 CalBRE employees. Together, they oversee more than 400,000 real estate agents and mortgage loan originators. The CalBRE enforces California’s Real Estate laws and regulations including the sale, lease, or financing of subdivided lands and the qualification of subdivision offerings.

CO-CHAIRS AND EXECUTIVE COMMITTEE MEMBERS

Monday’s program was chaired by Holly Thomas, General Counsel for RE/MAX® Estate Properties and Neil Kalin, Assistant General Counsel for the California Association of Realtors.
Executive Committee Members of the Property Law Section of the California State Bar were in attendance including, Rinat Klier-Erlich, Jose Mendoza, and Mary Work.