What is the best way to sell the lease option idea to a REALTOR? - Posted by David MacGown

Posted by George on December 24, 1999 at 12:43:27:

…when the deal closes, how are they going to get their cut? The l/o deals I would be trying to structure would be at least 3 years - what agent would be willing to wait that long? I guess you could offer to pay their commission, but based on what price? If your option calls for a purchase after 3 years at FMV, how do you know what to pay the agent? Answers to these questions would make negotiating very interesting, I think.

Thanks to all, and happy holidays!!!

George

What is the best way to sell the lease option idea to a REALTOR? - Posted by David MacGown

Posted by David MacGown on December 23, 1999 at 20:10:57:

If 85% of the market is listed with brokers then we are doing ourselves an injustice by avoiding listed properties just because Realtors don’t like them.

The most difficult part of doing l/o’s is not finding the deal or convincing the seller but getting past Realtors and brokers. In my experience they have been real road blocks.

So… What is the best way to pursuade REALTORS to cooperate, not only cooperate but to be enthusiastic about the concept?

I feel once I know the answer to this I will have brokers CALLING me about deals and this could get real fun, but for now it is exasperating.

Thank you and Merry Christmas!
David

Re: What is the best way to sell the lease option idea to a REALTOR? - Posted by KeithW

Posted by KeithW on December 24, 1999 at 21:57:24:

Some brokers or independent Realtors may be willing to handle as they would handle any lease, taking 10% (or something close to it) of the annual lease value upfront, from the owner. You are of course negotiating a 1 year lease with the right to renew X number of times. They would also collect their usual commission, at the time of sale, from the seller. It won’t work with all realtors, but many do handle leases for their clients. It is certainly worth making the offer.