All Forum Posts by: David Franza

Thanks for all the responses. It has been really helpful. Keep'em coming

@Curt Smith - Thanks for the advice Curt. Also the deal does call for the sale price to equal mortgage balance at time of sale.

@Jack Bobeck

I would have cushion between my option price, which is mortgage balance at time of option, currently 135, and the option price of tenant/buyer which I suggested between 155 and 160, you said could be higher.

@Jack Bobeck

I would rent the home, there would be approximately 600.00 positive cash flow between my payment which is the mortgage payment, and rental rates in the area.

Good question Joe, I am assuming a price appreciation of 3 %. In five years that would put the value at about 155-160

Thanks Dave,

My thinking is that only a portion if any will go towards purchase price. The option buys time for the holder, but if I can get a bigger option at time of lease option, I would consider applying a portion to purchase price.

I have a 5 year lease option on a home with little or no equity. My option price will be the balance of the mortgage at the time I option the home. I have the ability to sublet and sell my option. My question is what is the option amount I could expect from an end user. The home is worth between 130-140 thousand, and I plan to offer the end user a lease term equal to mine, 5 years, and purchase price between 150 and 160 thousand.