If you choose to go with a lease option, you are renting or leasing your property with an option for the lessee to buy the property in the future. The price of the home is fixed at the initial agreement, and an upfront payment is made by the renter in order to secure the option. Some sellers apply this option money towards the down payment if the renter ends up purchasing the home, but this isn’t universal. If the buyer abandons their plans to buy the property, the seller keeps the option payment.
For a seller, a lease option can be an attractive choice during a slow real estate market. You can make money to cover the mortgage while the market recovers, and you’ll end up either selling the home (often for a higher price than you otherwise would have seen) or keeping the deposit on the option.
If you are thinking about selling your home, contact Dawn Belisle to get the expert advice you need to do it right.
