Posted by Joe on March 01, 2006 at 10:33:22:
Yeh, the buyer would probably need to be more careful because the option probably has wording that if the payments on the lease are late, the option is cancelled. But these are the kinds of things that would need to be cleared up between the buyer and the tenant. My point was that the owner doesn’t have any say in this.
Lease Option owner being a Jerk - Posted by Jake
Posted by Jake on February 26, 2006 at 23:11:12:
I purchased a home on a lease option for $270,000 I have 6 months to go before exercising my option current value $320,000. When I paid my payment last month I casually mention to the optioner the I wanted to sell the property. He got ugly and told me that unless I bought the property I could not sell it to another party because the contract was between me and him. So I went home and read my contract and found a paragraph stating that optionee has the right to assighn the contract and sublet the premisses.Is there any way to sell without the owner finding out to another party double close maybee.Please Help
Let Sleeping Dogs Alone… - Posted by Randy (SD)
Posted by Randy (SD) on February 27, 2006 at 09:37:57:
I disagree with Brian, don’t send your seller anything, don’t make an issue of it, don’t do anything until you have a buyer lined up. When you go into closing if HE has a problem with it, provide a copy of your lease option contract to the escrow person-they will straighten out your seller and inform him he does not have a reason to contest the sale. If you don’t have a buyer lined up yet you’re getting your knickers in a twist for nothing.
Re: Lease Option owner being a Jerk - Posted by Brian (UT)
Posted by Brian (UT) on February 27, 2006 at 09:31:57:
Jake
Time to breathe deeply and get some backbone. Make a copy of the page of the contract that gives the right to assign, highlite it, send it to the jerk with a note that per your conversation with him he is mistaken, that per the contract someone else can buy the property if you assign the contract to them, and suggest that he can consult his attorney if he wants to confirm it.
You can add it shouldn’t make any difference if the money due for the property comes from you or someone else as long as he gets the money that is due him.
Sounds like he hopes you can’t perform and he can get the property back since it is worth $50,000 more. And that is more likely to happen if he can convince you that you are the one that must buy it, which of course isn’t true.
Brian
Re: Let Sleeping Dogs Alone… - Posted by James
Posted by James on February 27, 2006 at 15:13:37:
In general, do you have to notify the owner at all when you are closing with a buyer, or escrow will contact him and handle everything?
Re: Let Sleeping Dogs Alone… - Posted by Joe
Posted by Joe on February 27, 2006 at 15:58:47:
If you are selling your option contract to a buyer, you never have to notify the owner, ever. Once your option is transferred to your buyer, and you have your cash in hand, the only thing you are on the hook for is the lease. At this point, just be ready to move at any time, and let the owner and new buyer duke it out. You’ve got your cash in hand, so what do you care? If you do want to get hands-on, just tell your new buyer that once they exercise the option, if they want you to leave (cancel the lease) then you’ll be happy to move out. In fact, this may be a selling point for the option contract.
Great in Theory… - Posted by JT-IN
Posted by JT-IN on February 27, 2006 at 16:39:44:
However, can you imagine if you wre the one interested in taking an assignment of the L/O, do you think that you might want to verify that the payments are current…?
That the L/S is still living…? Or hasn’t filed BK…?
So in reality this is NOT as seamless as one would make it sound… I agree that he has the right to do so, but the practicality isn’t as easy as the theory, at times…
JT-IN