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Straight Lease Rates
(1 Year Minimum Required)
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Available Immediately For Long Term Rental
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Lease Payments of $1300 / month (Unfurnished)
* possibly some furnishings can remain if desired / optional
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Lease will most likely require 1st Month + Last Month +
Equal Security Deposit (negotiable)
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Tenant pays all utilities (placing utilities in
tenant's name)
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Small / Midsized Dog(s) Considered
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Full Use of Boat Dock
Lease Purchase
Discussion (based on Sales Price of $382,000) The Lease Purchase Option Period would be for 2 years.
At the end of the 2 years, the Buyer would be responsible for coming up with
their own conventional financing to conclude the Sales Transaction.
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During the Lease period, the Owner would be responsible for
Taxes, Home Insurance, etc. Lessee would be responsible for
contracting their own Rentors Insurance for their personal belongings and
liabilities.
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During the Lease period, the Owner would be responsible for
Major Maintenance issues such as Heating and Cooling, Breaks in the
Plumbing, Major Structural Damage. Tenant would be responsible for
minor maintenance such as stopped up toilet, sinks, broken windows, damaged
walls or doors, lighting issues/bulbs, and appliance repair or replacement.
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Tenant pays all utilities (puts utilities in their own name)
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Tenant CAN Sublet the Unit.
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Since the Tenant has a Purchase option in place, Tenant will
have permission to market property for sale at higher price, understanding
that Purchase Option is exercised at time of sale, and payment fulfilled prior
to title passing on. Tenant pockets the profit difference in such an
event.
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Monthly Lease Payments would be set at $1400
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There would be a
$1300 Refundable Security Deposit
required.
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The Non Refundable Purchase Option Price would be $8000.
This amount would be applied to the Sale at the time the Purchase Option is
exercised.
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The Lessee would receive an
80% Rent Credit towards the
Purchase
- on each monthly Lease Payment made leading up to the actual Purchase during the 2
Year option period.
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At the time of a Successful Purchase Transaction, the Buyer
would have earned towards down payment the following amounts: The
Security Deposit ($1300 in this scenario) + the Initial Purchase Option
Amount ($8000 in this scenario) + 80% of each rent payment already
made. ($26,880 in this scenario assuming all rent was paid during the
24 month option period). That is a total of $36,180 of earned
monies that can be applied to the purchase. (again,
assuming this exact scenario - these are example calculations).
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OPTION EXTENSION: After initial 2 Years, if the Tenant needs One (1)
Additional Year to procure financing, then Tenant may purchase an option
extension for the non-refundable sum of $1000
(which will also be applied to the
purchase),
and all other terms remain the same with the exception that during this 3rd
year extension of the option, the rent credit would drop to 30% of all rent
payments (the 80% credit
earned during the 1st 2 years would also be protected & applied).
Early Termination
(2 months notice required to be given by tenant)
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The early termination clause is valid for either lease or
lease purchase.
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In the event of an early termination involving a purchaser
option, the options terminates at the same time as the lease. Tenant
loses all earned credits to purchase, and the non refundable purchase
option.
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We don't like early terminations either, and this is offered
simply as an emergency clause in the event of unforseen circumstances in the
life of a tenant which require them to break the lease. In these
situations, if it is apparent that the situation isn't going to work out,
then it is usually better simply to part ways easily and amicably.
Again, the above are parameters are simply guidelines, and is based on a purchase price
of what the Unit is currently
being sold for: $382,000 (which has already been dramatically
reduced from well over $500K). But everyone's situation is different,
and the owner is open to customization of the details. There
are great benefits to both parties in the purchase option situation.
The Seller/Landlord is getting a Tenant that is working towards
purchasing the property, and thereby is more apt to take good care of the
property..
The Buyer/Tenant is building towards a substantial down
payment with generous monthly payments being applied towards purchase, achieves the goal of immediate owner benefits, but doesn't lock themselves
into immediate legal obligation of Ownership, Taxes, Homeowner Fees, etc...
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