Completely legal as no law is being broken.The DOS clause in the loan contact can be exercised by the lender.

If they exercise the option then they make a built in profit.

Do the options typically get exercised?

Aside from possible predatory habits (check with your attorney's on this one guys if you are charging an up front fee), its just a pointless exercise to charge.

The more credit you have that is exercised wisely will allow you to raise your credit score.

Wouldn't more appropriate goals look like this:I want to save $200 this month for a down payment on a home.I want to be the vice president of our company in the next 5 years.I want to exercise at least 60 minutes before work everyday.I want to show up to work on time driving a Mercedes 500 SL.I want to retire by 55 with at least $1,000,000 in the bank.I like to look at goals as the picture on a puzzle box.

Lease Options – You do not need a loan until you "exercise" your option in the future… Also sometimes you can sell or assign your lease option to another investor or buyer that would need to go get their own financing.Foreclosures – It depends on how you are buying these… at the sale, you need cash… Need good old cash or someone who has cash...

My price when I actually exercise my option will be the balance remaining as of that time on the amortization table.

Ownerfinanced for as long a period as he'll go for, 5, 7, 10 yrs Small option fee paid to seller at the time of contracting, down payment due upon exercising the option.During the option period you find a buyer with 15-20% down and sell on a owner finance note 1 yr term with up to two renewals as long as buyer makes all the payments.

That amount would apply towards the purchase price, when you exercise your option.With that option, be sure to ask for the right to show the property, and do what you need to do to sell.