Posted by SA on September 12, 2003 at 19:42:25:
Hey Brent-
Thank you for your responce. Fortunitly the seller is quite motivated so they have agreed to the rent credits being called a down payment. Wasn’t quite sure though. My rent credits will allow me to get a nothing down deal.
Thanks again,
SA
Writing an Offer To Purchase On a L/O - Posted by SA
Posted by SA on September 10, 2003 at 19:52:47:
Hello everyone-
I currently have an existing L/O and am going to exercise my option to buy. I currently have a l/o contract. Do I need to write up an “Offer to Purchase” or just use the current l/o contract?
I think I would prefer to write up an Offer to Purchase to spell out everything and call the rent credits I’ve received a down payment in luie of a reduction in price. Any problems doing this? I will be getting an investment loan financed by a mortgage company.
Thank you for your responce.
SA
O.K. - Posted by Brent_IL
Posted by Brent_IL on September 11, 2003 at 22:58:08:
The person to ask is the one who is arranging the financing for you. Some lenders will use the L/O contract and let you call the rent credits anything that you like. Most will have guidelines for what they will and will not do.
The seller is the one who will have to agree to sign the offer to purchase and agree to report the rent credits as cash received. Personally, I wouldn’t do it because if you don’t close, you could demand that you get your down payment “cash” back. Your own seller may be more accommodating.