Lease Option ?'s

[Ken Hicks]

Can somone explain the lease option to me. I read a few books and I have some questions. I hope i can explain them.

1.If you find a tenant to lease option a home for $100,000 with a $4,000 nonrefundable fee and the monthly payments will be $850. Now after the 3 year deadline the tenant wants to purchase the property how much wouldhis mortgage be?would it be $96,000 or would it be $92,000 after he pays some principle on the excisting loan of $85,000. I hope this makes sense.

2.what do you do if the tenant stops making payments? seek a attorney to evict them?

3.When filling out the papers for a lease option You negociate a price sign the papers then file the dead at the court house? is a attorney ever involved with a lease option.
I hope this makes sense. ask if you dont' understand.all input will be helpful