“Option: Collect your assignment fee as soon as you assign your option. Don’t wait for settlement. Your buyer might not exercise the option, in which case you forfeit the option premium you have in the deal.”
Example: I have an option on a $150k house. I find a buyer that will pay $200k. But all of his downpayment money is going to the bank when he gets financing. Hes not going to cut me a check for $50k. so i would think that even though i would rather assign it and be done, i would have to wait for closing.
Lease option: i get paid when t/b gives me $3k-$5k assignment fee. im done.
Option: i get paid by finding a buyer to pay more than i agreed to pay in the option agreement… BUT, how do i get the money?? probably a dumb question, but do i assign the option agreement to the new buyer, or do i get a check at closing?
Lease Option: You aren’t really done until you get a release of liability from the seller.
Option: Collect your assignment fee as soon as you assign your option. Don’t wait for settlement. Your buyer might not exercise the option, in which case you forfeit the option premium you have in the deal.