Tenant-buyer must exercise their option within 180 days.2.

I have a hypothetical question for the community about purchasing a 4-plex that has been zoned for 2 additional units.This is a hypothetical exercise to identify gaps and valuations not currently under consideration.Feedback is appreciated!

The owner is asking for 10K down and 900/month for 2 years, at which point I could exercise the option and purchase the property for 125K.

The tenant doesn't own anything until the option is exercised and they actually buy the property.Owner financing is the owner acting as the bank with a promissory note with the terms of payment (principal amount, interest rate, number of months).

Otherwise what was the point of the exercise. good luck.. consider posting the new calculations based on 650-700/ per unit to be conservative...

If the Tenant Buyer walks away from the deal I get to keep his Option payment since it is non-refundable and I sell to another Tenant Buyer and get another Option Payment usually about $20k to $25k.I encourage people to get qualified for financing and to plan their lifestyle to be able to get a loan to exercise the Option.

It is just a practice exercise.

I have had a HELOC on my primary residence for years and have exercised it multiple times to support investment purchases.

But while you're still just running numbers as a learning exercise, you can use the crime maps on Trulia and use Google Maps to view the street.

simply do not take anyone's word for this landlock situation.. open escrow get a title commitment and see it it is actually landlocked.. if it is your remedy in the real world. is1. getting a neighbor to grant you the proper easement you will need.2. confirm from the city or county that you can access the property from this new easement..despite common statements folks will make that no property can be landlocked.. and there are remedies this simply is not true.. properties can be landlocked... owners do it to themselves.. not common but it does happen.As for the old house.. sometimes if there is no lead or asbestos fire department will burn them down as an exercise.. ( sometimes)biggest issue in many markets now is the lead paint and Asbestos remediation during the demo.. some areas they don't car.