Re: TEXAS INVESTOR’S !!! LEASE OPTION ALERT!!! - Posted by Lynn_Atlanta
Posted by Lynn_Atlanta on January 30, 2000 at 16:52:26:
Georgia law and Texas law are obviously different, and I am no attorney (in any state), but I am a very active investor in Georgia, and I always file a Security Deed to Secure Performance when buying via lease-option. The form that I use is the same as a Security Deed that is filed in Georgia to secure a debt, except that the words Borrower and Lender are exchanged with Obligor and Obligee.
There have been questions of whether these Security Deeds are enforceable. Fortunately I have never been put into a position that would require me to actually enforce the Security Deed. Whether it is actually enforceable or not, I like the idea that my seller knows it is there to protect my interest.
If you are setting up escrow of all of the other documents, you are probably doing more than most investors out there. One thing for sure, it sure can?t hurt to have a little more protection, so why not file the deed?
p.s. JPiper also has a good point about filing a Mortgage to Secure Performance if that makes your attorney feel any better.