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Updated over 7 years ago on . Most recent reply
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Any negatives in taking large consideration for lease with option
any negatives you can think of in taking a large amount in nonrefundable consideration for lease with option to purchase?
Have a few properties which are in short supply in a very hot market.
Potential buyers are offering way higher than 3% for the nonrefundable consideration to lease with option to purchase.
Some as much as 10% even after making them fully aware that it is NOT a purchase and if they do not go through with the purchase they will lose all of the consideration money
I've told them It is a rental with zero rent going towards purchase price. That they will still need to give first, last and security deposit
I have spoken with a real estate Atty who has assured me that taking 10% will not violate Dodd Frank.
But I am leery of this
Anyone take this much why and why not?