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Hi MC, Thanks for the info. I was wondering, when you do these straight rentals, I saw you just do the residential lease agreement and assignment paperwork, but what do you offer them. Do you only offer them to market the property better and send them the tenants for further screening, or do you actually screen them yourselves (i.e credit/criminal check)? Thanks, Paul

I know you guys said that it's pretty much a wash if they're already listing the property with a realtor, but what if their agreement with realtor is such that in their agreement, if the seller finds a renter first, then no commission goes to realtor. Can I go ahead and work with them, or should I still stay away. Thanks, Paul

I wouldn't worry about him too much. There are some other posts recently that show ridiculous comments like such where sellers will report you to the FBI, but hey, you're not doing anything illegal, so they can run with it like a dog chasing a tail and not get very far . Move on to your other sellers who are motivated and don't let anyone keep you from realizing your goals. Fear is the biggest killer of all dreams. How you handle it will determine whether you stay where you are vs moving on to your bigger and achievable goals.

Thanks for the info guys. Very good stuff. Much appreciated, as always.

Yeah for now, just leave out the company and LLC part, and just put your name in there. Also, don't worry about the address. I put my business PO box in there, but I don't think that's essential. I don't see a problem with putting your address in there for now. Once you get more deals, it might not be a bad idea, in case a disgruntled guy comes looking for ya, hehe

A seller asked about the net price they receive from the property. I think they were asking their friend about what I was offering them, and were probably told by the friend (who is a realtor), what they thought about my offer. The friend probably was telling that a "net listing" is illegal, where the seller gets a net price, and the broker then can sell the property at any price above the net price for a profit. I told her that this is a law intended for brokers to prevent them from taking advantage of sellers, but is there any way I can be accused of doing something similar, acting like a broker who sells at any price above the seller's net price??? My hunch is that it's not relevant to us, but I want to make sure. Thanks, Paul

After talking with about 5 sellers now, I'm feeling that I am the subject matter expert when talking to the sellers, as most of them only have a basic understanding of how lease options work. Therefore, I don't think they even know that there is a difference, hehe. CHeers, Paul

Hey Tony, Good Job! Keep at it. 10 emails is a good start, but I've noticed that you need to send out a lot of emails. I've sent about 100 emails now, and have had about 10 positive responses, so remember that it is a numbers game. Send out more. Did you send them a f/u email as below: Hello Tom, Thank you for the quick reply. Your house sounds like it may be just what we are looking for. Please let me explain. My company, ---------, LLC, specializes in Lease Purchasing. This technique has proven to be quite advantageous for homeowners. Done correctly, you can receive an above market price for your home in less time than it would take you to sell it traditionally. We charge no commissions of any kind. In fact, our service to you is free! We'll even arrange to have the tenant/buyers pay all closing costs, too! The bottom line is that you will net many thousands of dollars more when you sell your property using the Lease Purchase Advantage. Presently, and as is often the case, we have more tenant/buyers than we do properties to offer them. Your property seems to fit our needs quite well. I have attached a flyer with some additional information to further explain about the Lease Purchase Advantage. Please feel free to contact me with your questions. Or please pass along your contact information to me, along with a good time to call and I will contact you. I have attached to the email an explanation of advantages of Lease Purchasing. Thank you for your interest. Tony (000)000-0000 Make sure you attach the LPA to this as well, and then after that talk to them on the phone. If they sound interested, then I'd do some research on their property to get an idea of what market value is for their property. Then send short offer letter and short offer form with your terms. Good luck, Paul

Yeah that one was good, real good. There should be a fine for these types of guys that waste the FBI's time with stupid complaints that have no merit. Related to this in a sense is that our society has become so litigious, it's ridiculous.

I was thinking, because we are getting T/B into the property with the hope that they will buy the property 1-2 years from now, is that typical to be able to market at the top range of current market prices as we could argue that the property could appreciate in value, or is this not feasible given the down market.

So if I have the Purchase Price agreed and set to $100k, and I get a $3k assignment fee from a T/B, what amount is put on line 4....$97k? (not taking rent credits into consideration) You put $100,000 on line 4 then as this price reflects the net price to the seller. You will market the property at a higher price to the T/B. So in this case if you want $3000 for assignment fee, and say, you add another $4000 for rent credits, then you will market the property at $107,000 to the T/B (and the $107,000 is the price you put in the Option to Purchase agreement). Also, how do we know the set purchase price if we've yet to determine how much a TB is putting down? Good question, not sure on this one. And to clarify, as Michael already stated, the Option Consideration amount, on line 6, is $1, yes? (Not to be confused with what we assign the deal for). Yes, that's correct.

The veterans can correct me if I'm wrong, but I believe you send the "Short Offer Letter" together with the "Short Offer Form". The one with "Company Letterhead" at the top is the "Short Form Letter" - this is just to explain the "Short Offer Form" that comes with it. Take care, Paul

Thanks Michael, appreciate the advice. I'll proceed with sending some forms to sellers who are interested. I'm having a little trouble trying to determine a good range for current market value for some of these properties, but I'm thinking of making offers close to low end of current market prices so I can at least get some experience marketing the property and get a T/B. Thanks again, Paul P.S. Those emails work like a charm.

Anyone on this board from Maryland who's willing to share their Maryland version of the CA lease option agreements? Thanks, Paul

Hi Adam, Thanks for the reply. So if I'm trying to do a CA agreement, I need to get Option to Purchase agreement, CA Assignment of Agreements, and Residential Lease agreement forms looked at and modified. Is your service offering to look these over and modify as needed? I looked on the website you had, and it doesn't have anything close to these forms for order. Thanks, Paul