Posted by Jim FL on May 16, 2006 at 13:33:21:
Can you lease option a house for $2k per month in your market?
What are market rents in your area?
The thing is, with a property purchased using any method, it is wise to have more than one exit strategy.
Just because you buy a house subject to the existing financing, does not mean you must lease option as your exit.
This does of course give you three profit centers.
Hopefully when buying, using any method for purchase, you are utilizing the golden rule…which is, make your money when you buy.
What does that mean?
Buy for BELOW TODAYS VALUE!
To do otherwise, is to speculate, and that’s no way to build long term wealth.
So, look around your market, determine market rents, and perhaps look for some rent to own, or lease option homes as well.
This will give you an idea of what others are charging monthly etc, and should let you know where you need to be with yours.