Lease Purchasing?????????????????????????? - Posted by Lane Wallace

Posted by jeff on July 17, 2002 at 17:01:56:

that all depends on you and your market. if you have the cash behind you already to handle the maintenance and other expenses of the deals then sure it is. if your strapped for cash then maybe flips is where you need to be.

how are you gonna handle the leaky roof in 2 months when the tenant calls and their new born baby is getting dripped on? is this something you can handle? if not, try another technique becasue there is always something broke in a rental. theres nothing like getting calls every day of the week to come change someones light bulb and get the toilet bowl taken care of. i personally beleive id be better off just buying port-a-potties and boarding up the restrooms in my houses. flips bring you quick cash, L/P can bring you big cash at a later date. do you have the toughness and financial backing to wait out the storm until the check at the end of the L/P tunnel arrives?

Lease Purchasing??? - Posted by Lane Wallace

Posted by Lane Wallace on July 17, 2002 at 16:42:45:

Is lease purchasing a good way to go for a new investor??.

Without a doubt ! - Posted by Paul

Posted by Paul on July 17, 2002 at 20:37:40:

Just make sure you are properly prepared with correct documents, etc. I would certainly suggest a good course such as Bronchick’s @

As far as the maintenance issue, you have an agreement with your seller that says he will take care of anything over, say $200.00. You also have an agreement with your tenant/buyer that states they are responsible for all repairs and maintenance under $200.00,( they are now purchasing the property after all) so you are covered in that respect.

Be prepaired, and screen your tenant/buyers very carefully to insure they can and will make the payments you are ultimately responsible for to the seller.

You will get cash up front from a tenant/buyer, and cash flow on the monthly payment as well as a very nice payday when your tenant/buyer gets financing and closes on the property.

Best wishes,