House was just listed last night and has already gotten several inquiries.One in particular, renter is asking about possibly a long term lease of 4 to 5 years.Gut feeling tells me that this isn't a good proposition for myself, the landlord.

My thought is that if you, as the owner, are living in your property, leasing out part of your home is allowed.

You should ask for and get: Rent roll, leases, statement of income and expenses-last 3 years min-bank statements as mentioned above, list of security deposits for closing, and do a professional inspection.Would not hurt to verify taxes are UTD and no liens registered.

I have not done a lease option yet in my investing career.  

https://www.har.com/content/newsroom/Houston Real Estate Highlights in May: Single-family home sales rose 1.0 percent year-over-year, with 8,157 units sold, the second largest one-month sales volume of all time;Days on Market (DOM) for single-family homes increased slightly from 51 to 52 days;Total property sales edged up 0.6 percent with 9,721 units sold; Total dollar volume increased 2.0 percent to $2.8 billion;The single-family home median price rose 3.4 percent to $243,000, which represents an all-time high;The single-family home average price increased 1.3 percent to a record high of $305,511;Single-family homes months of inventory was flat at a 4.0-months supply, the highest level since last August and equal to the national inventory level;Townhome/condominium sales fell 6.4 percent, with the average price up 2.5 percent to $213,912 and the median price up 3.0 percent to $170,000;Leases of single-family homes declined 1.8 percent with the average rent up 3.7 percent to $1,845;Volume of townhome/condominium leases dropped 22.6 percent with the average rent up 1.0 percent to $1,580.

My husband and I are looking at an investment property that comes with a tenant locked into a lease until March 2019.

I use 10% for management, but have had clients pay everything from 16% (10% plus 1 months rent every lease signing) to a flat $50 / month.The real questions - what value add opportunities are there?

When does the tenant's current lease end?

I've decided to start with pre-foreclosures, Lease Options, and Seller Financing. 

My total cash to purchase the property will be $6,500 + closing.With a contract for $43,500, I don't think there's much room for a wholesale opportunity & a 30 year loan would increase my cashflow by about $40/mo but I can't seem to find one right now.The property is a 3/2, 1,000 sq. ft. the lease renews in August, month to month, at $825.