Usually you would require a non-refundable down payment from the tenant buyer that would be in the 4k and upwards range depending on the price of the house.

Hi...The 4 plex is not in California..Well I came to a conclusion in my own quirky non professional way...it will probably seem silly but here it is: It seems that if I put $80,000 down and then spent another 200,000 over the course of 20 years for all the stuff that comes up...( the building is brand new with all the warranties on the roof etc etc ) there is a good chance I will end up with a building worth around maybe $650,000 ...that means ( in a very very innacurate way) my money was more than doubled and it took TWENTY YEARS.....thats not very good and I had all those headaches too.meanwhile in 20 years just $130,000 in a simple Vanguard index fund getting 11% a year and being left alone to compound becomes around a million dollars.This seems to clarify it for me.....

Property acquired and held for sale typically does not qualify for 1031 exchange treatment.

Does anyone put a clause in that makes the option non-transferrable?

I purchased the house and did a 1 year L/O deal with the previous owner 4 months back and here are the numbers:-sold comps show the house being a quick sale at 130,000-purchased the house for 105,000-7,000 non-refundable lease option fee paid up front-1,400 month rent payment-my mortgage payment is $850 (including taxes and ins)-option to purchase price of $125,000I just found these forums and was interested in getting feedback for theterms of this deal...God Bless,Steven

God knows I'm non-profit cause they have no equity and I'm not even thinking about buying their house at that 105%.

Thats too funny Kabong,But in your case there Non-Alcoholic beers!

(note that I have no pending deals, it's just my vision of starting)I've been lurking on the boards non-stop the last two days (that’s when I found this place) and am even more of a rookie than I thought.

If I gifted over a purchase for an orginization would they have to pay taxes on the purchase amount if the orginization is a non-profit orginization?

The bank often doesn't know much history, so seller disclosures can be limited or non-existent.