Lease Options in Texas

[Chavel Diaz Jr]

Great Intro-Seminar given by @John Jackson last night at the RICH Club of Houston...Get the full lease option scoop in Texas and be on your way to making dollar$$$ with LO's the right way in Texas on June 7 & 8 when he'll be giving a live 2 day event in Houston, TX.

NOTE: Sandwich LO's in Texas - they're OUT in Texas, No Bueno....
Straight LO's - you're good as long as you know what your're doing, John does...

LO Assignments - you're very good as long as you know what you're doing, which John is the Texas Expert at....

[Brian Gibbons]

Originally posted by @Jarrod Weaver:

Use caution - the laws governing lease options all but outlaw the practice. The restrictions are so narrow that it makes using LO's worthless. If it were to go to court, the seller would certainly lose and would face large penalties and/or jail time.

There is no one on this board that the TREC (that's Texas Real Estate Commission) has more fully vetted as far as having a legitimate lease option operation than

@John Jackson

Now to the point of penalties as far as SCREWING UP in lease option in Texas they are huge.

2005 changes to the Texas Property Code (Sec. 5.061 et seq.) define residential lease-options for longer than 180 days as "executory contracts" subject to strict regulation and penalties if not done exactly right. Exactly right. Specific requirements must be observed and the burden is entirely on the seller to do so. Violation incurs not only penalties under the Property Code (return of all payments made by the buyer including monthly payments) but potential liability under the dreaded Deceptive Trade Practices – Consumer Protection Act ("DTPA") which can involve treble damages plus attorney’s fees. The most sobering aspect of executory contract regulation is that there are no seller defenses, even if the arrangement was the tenant/buyer’s idea to begin with.

Now you'll tell me next sub2 are illegal? lol