A lease option is just a lease with the option to buy... these kind of agreement do you really need an escrow agent to close the transaction?

Hi everyone,I am in the process of leasing out my home for the second time and this time I don't want to miss a thorough screening.

Storage is not typically a NNN set up (it could be if you master leased an entire facility to an operator and they handled the day to day but that is not cusomary in this space).

Owner Owes $85,000PITI is $794.00.Owner lives in another state and home is vacant.Our Strategy:[/b]RESIDENTIAL LEASE WITH OPTION TO PURCHASE AGREEMENT©I believe the RESIDENTIAL LEASE WITH OPTION TO PURCHASE AGREEMENT© is the Agreement used between ourselves and the SELLERRESIDENTIAL LEASE1) Rent: $ 800.00 per month (Based on current rents in the area)2) Lease Term: 12 months, beginning September 1, 2012 and ending September 1, 2013 .3) Maintenance: Buyer/Tenant will be responsible for maintenance and repairs of the property, not to exceed $200.00 per incident.OPTION to PURCHASE4) Purchase Price:$89,9895) Option Period: 36 months, beginning September 1, 2012 and ending September 1, 2015.6) Option Consideration: $10.00 All Option Consideration will be credited in full toward the purchase of the property.7) Rent Credit: Buyer/Tenant will be credited $400.00 per month toward the purchase.8) Closing Costs: Purchaser will pay all allowable closing costs.9) Expiration: This offer shall expire on August 9, 2012 at 12:00 midnight.10) Inspection: This offer is contingent upon physical inspection of property and subsequent completion of a formal and signed Residential Lease with Option to Purchase Agreement.MEMORANDUM OF OPTION to cloud titler Tenant/BuyerWith our Tenant/ Buyer we will use the following documents:OPTION TO PURCHASE AGREEMENT© which cannot be assigned.Purchase Price: $93,000Option consideration: @5% $4650.00Rent: $900.00Lease: 12 months, renewable x 3.RESIDENTIAL LEASE AGREEMENT© Unassignable.Your critical analysis of this deal is highly appreciated.

If you have a written lease on the property the lender will have to honor that for up to 6 months if the go to foreclosure,so that's a down side for them.Get with your attorney!

Should we setup the LLC and it's relative bank accounts before purchasing anything and writing up lease agreements?

When we were building a building and leasing office space to a State agency, every month there would be a team of architects, designers, space planners, leasing agents, etc. driving hundreds of miles to see what the progress of their space was.

I have been reading about lease options and have become pretty intrigued...

I have a rental house with a tenant on a month to month lease.

I thought property spoke for itself with almost fully occupied with long term leases and DSCR would be >1.5.