Just out of curiosity, is it legal to lease option a house that has been acquired subject to?

For a SFD, it's silly to go there, but curiosity gets to us, especially when starting out and finding out what NOI is, so we attempt to compute it.

I live in Charlotte and investing in RE picked the curiosity of my wife and mine.

Charlotte is just a beautiful city.Mark - I found biggerpockets through your blog....I still follow Colorado real estate - I know it makes no sense; but curiosity more than anything. 

It's not that payments are not charged, but may accrue, you don't have to pay the rents but you will owe the rents.

Just out of curiosity, since the tenant's lease was ending anyway, why not just keep the security deposit in lieu of the last months rent?  

I'm curious partly just out of general historical curiosity, and partly because I'm wondering if it can be tied to particular point in time, what the prevailing interest rates were then.If you accept the 50% rule as being an accurate* approximation of expenses and ask the question, "how much rent would I have to charge to cover my expenses and my mortgage at x% interest?"

Usually construction loans are I/O to a 6 month balloon or simply accrue to 6 month, larger loans go to a year.

@Ken Truong, out of curiosity are you aware what big name in Bay Area real estate you share a name with?

@Lawrence Rutkowski asking out of curiosity.