If you can't keep control of your personal finances, you are highly unlikely to succeed in real estate investing.

The exclusive option to buy gives the optionee a lot of control depending on the cost or consideration paid. 

If the owner files bankruptcy, goes into foreclosure or dies you'll have a difficult time getting your money back.I agree with @Justin Fox - it's best to have full control over the outcome of the deal.

I hate to do it but this is about damage control.

You should also know that any apartment building built before 1947 with 6+ units is subject to NYC rent controls, and tenants with subsidized rents are often hostile. 

I feel like that is control he doesn’t legally have. 

Granted this monthly number will likely be lower than his current rental income BUT the possibility is there to control the down payment and the interest rate, ideally netting him more through the life of the loan.

Don't forget to join KREIA - it's a great resource (non-profit) that helps empower people to take control of their financial future.

If you can't keep control of your personal finances, you are highly unlikely to succeed in real estate investing.

Hi, have a property which an assessor found to have lead hazards which need to be controlled.