Posted by Bill K. (AZ) on June 23, 1999 at 14:51:59:
Amy,
Many loans are written such that a lease/option triggers the “due-on-sale” clause whether anything is recorded or not. However, it is highly unlikely that the lender will find out about this since they don’t have people thumbing through the records at your county courthouse looking for such an event.
I hope this helps.
Bill K. (AZ)
L/O - Seller does not want to sell - Posted by Jim (TX)
Posted by Jim (TX) on June 23, 1999 at 13:13:33:
I am about to sign up another lease/option home tonight. I have read about sellers not letting you exercise your option to purchase. I have spoken to 2 different title companies about the getting the seller to sign a deed and having the title company hold the deed in escrow until I get it sold. But both escrow officers did not know how to make this happen.
I have not been burned yet by a seller, but that does not mean it won’t happen. Who should I call here in Dallas? What should I tell to the title company?
This is my 3rd deal this month so I need to get knowledgeable.
Thanks
Re: L/O - Seller does not want to sell - Posted by Bill K. (AZ)
Posted by Bill K. (AZ) on June 23, 1999 at 13:37:21:
Jim,
You might also consider recording your option. A recorded option will put a cloud on the title, and might very well inhibit the seller from selling to someone else or putting new financing in place. So, he/she would have to work with you to get your option removed. And, of course, you would be happy to remove it by having him/her sell it to you as agreed.
I hope this helps.
Bill K. (AZ)
Re: L/O - Seller does not want to sell - Posted by osirus
Posted by osirus on June 24, 1999 at 24:55:01:
How is option recorded? What type of form is used?
Re: L/O - Seller does not want to sell - Posted by Amy W.
Posted by Amy W. on June 23, 1999 at 14:38:50:
Bill,
Won’t this trigger the due on sale clause? I’m confused about this whole issue. Thanks!
Amy