Though, if this is how you choose to work it, you'll also receive an amount at the expiration of both leases, provided your tenant signed a lease-purchase or decides to exercise their option to buy on the lease-option.e.g., $70,000 tenant purchase price - $52,000 your purchase price = $18,000 profit.Again, this is contingent on each of you having a lease-purchase/lease-option agreement in place.

Always exercise caution but don't let fear stop you from leaping. 

His lease is only 18 months long.Although we would make more money if the option is not exercised, my wife and I are hoping he can get his financing in order sooner so we can get out of the property and realize our profit.The rehab one:  A gentleman contacted us through one of my wife's marketing strategies.  

If IRS does not exercise its redemption right within the 120 days it will automatically expire.

I think this is a good exercise to start taking action as well. 

Hello everyone, my names Jacob live in Denver Colorado and am 21 years old that's studying Physical Exercise.

I am trying to work a lease option deal where the tenant buyer gets $200 a month out of their monthly rent to go toward the purchase price of the home once they exercise the option.

If Seller is unable to convey to Buyer a marketable title, Buyer will have the right to terminate this agreement at the same time returning to Seller all title evidence and surveys received from Seller, or Buyer will have the right to accept such title as Seller may be able to convey and to close this transaction upon the terms stated herein, which election will he exercised within 10 days from notice of Seller's inability to cure.11.Loss or Damage:If the property is damaged by fire or other casualty prior to closing, and cost of restoration does not exceed 3% of the assessed valuation of the improvements located on the Property, cost of restoration will he an obligation of the Seller and closing will proceed pursuant to the terms of this is Agreement with cost thereof escrowing at closing.

WIth subject to, you hope the lender never finds out and the seller remains responsible.The risk is that the lender does find out and exercises their right to call the loan.  

You may be looking at only the value of an option as a financial derivative and not the value of exercising the option, the full value is not included.4.