Try not to tie-in substantial lessee improvements with the option exercise. 5.

Bryce, this entire exercise was unnecessary. 

Whether or not this impresses your lender doesn't matter, just going through the exercise of creating it forces you to think about your deal and get organized.Finally, I'd encourage you not to create a PowerPoint deck for your potential lender.

I kind of boil all this back to wallstreet, land-o-contract swaps.To have a contract, not exercise on it, but sell that contract, is options trading.

In mine its just a way to make sure you're exercising just a little bit of caution as to who you bring into the neighborhood.

Can somebody recommend a great tax accountant who is experienced with stock option exercise strategies in the Charleston SC area?

. • High levels of unit features and amenities such as garages, in-unit washer/dryers, pools, spas, exercise gyms, the latest technology, etc• May have less cash flow than B or C properties but greater appreciation potential.Class B Properties: • Typically 10-20 years old (Little or no deferred maintenance)• Occupied by both white and blue collar workers • 80% to 120% of an areas median income (the middle class apartment dweller)• Usually renters by necessity, not by choice (can’t buy for one reason or another)• Tend not to move as often as other tenants.• Generally command average rental rates • Property finishes are fair to good and systems are adequate• Includes former Class A apartments that are 10+ years old• Complexes are well maintained• Properties will have decent cash flow and decent appreciation potential.Class C Properties: • Built within the last 21-30 years (varying degrees of deferred maintenance).• Typically occupied by blue collar workers and even some Section 8 tenants• Usually have below market rental rates• The projects have fewer amenities• Renters by necessity. • Properties will have decent cash flow but appreciation has to be created with physical improvements (remodeling, aka rehabbing or repositioning)."

.* Greater percentage of O/O homes in these areas, so you'll also have a strong possibility of having an exit strategy to a retail buyer, should you want to exercise it at some point.* Fixed costs are a smaller percentage of the gross rent.

However, this option shall not be exercised by Lender if exercise is prohibited by federal law as of the date of this Security Instrument.If Lender exercises this option, Lender shall give Borrower notice of acceleration.

A lease purchase agreement as well as a lease option agreement have nothing to do with the SAFE Act unless you are planning to carry back the financing if and when the tenant/buyer exercises the option to purchase.If the tenant/buyer obtains their own financing from a third party lender when the option is exercised, then your deal is not subject to the SAFE Act.This is a common opinion in the REI community, IMHO.