Don't Rent Your House - Lease Option It!

Don't rent out your house- lease option it
The simplest way to own houses is always to lease option, not rent. That way you have a higher quality of tenant, the best way to to pick from, more cash up-front, additional money month after month with out repair headaches. Sounds good, don't you think? I usually get $100 a month extra on a house until $150,000; up-front option funds are about 3% in the sales price. If your house needs work, I offer a work credit when they take action themselves. If the home is a tragedy, then I offer my special, "No money down, you fix" deals (On those deals I get approximately 150 calls every day). If you'll be able to enter light, there isn't a lot of cash tied up in fix up costs. Long ago, I learned to never link my profit keepers.
Since you obtain a lot of calls on these ads, you must minimize your time and effort expended by you. The ad is placed in the houses for rental and houses for sale sections.
A typical ad reads a considerable house reads:
Rent to own Cute 3/1 fenced yard. Nice area. Low down $850 mo+ $100 mo towards purchase
If the property is a disaster, I always wash it first. This is how the ad reads:
Rent to Own- $0 down- U fix. 3/1 fenced yard. Nice area $850 mo + $100 mo towards purchase.
Notice that the price and rent has not changed? Slick huh?
You must have an outside number with an outside voice mail. On the voice mail you are able to provide address and hype the home. Tell them they are driving beginning with and have a flier and appearance in the windows. At the exact property is an alternative telephone number, which can be my cell. That way you should only talk to those who have seen your neighborhood, and seen the house, and know how the sale works. At the house you have a flier that outlines what is required. I have about 100 fliers and check every day or two to see if it really is empty. Tape someone to the window in the event that someone takes the final one.
Make sure the property is neat and clean regardless of whether it needs work. Leave the window coverings open. Check your voice mail regularly as it will complete fast. Mostly there will be hang-ups. The calls you obtain back are the type you will want to speak to. Be sure to take the time to screen the callers. Ask them about employment, who will live there, simply how much they earn, how long at the present address. Do they have the specified option money? Verify that they earn no less than 3 times the rent amount monthly. How is their credit? If everything is ok, create a showing time.
Make sure you schedule several appointments as well. Tell them to take $100 in cash plus $25 application fee just in case they enjoy your house. When you have the showing, arrive 10 mins late. Let them see all the other people there also. Take applications in the qualified ones together with their money. No money-no application. Don't question marital status- it's illegal.
Every adult gets his/her own application. Date and number the applications. You have to go ahead and take first qualified tenant, not one of the most qualified.
Check out  richmond property management companies . When you have made the decision arrange for the money to obtain the rest in the first month's money quickly. You would be surprised how many people walk from $100. Don't take the ad out of the paper til you have ALL the money. Things can go wrong up until the final minute. Return all unacceptable deposits without the $25 appraisal of creditworthiness fee. If possible, navigate to the prospective tenant's house to find the rest in the money to see how they live. At the very least, take a look at their car. If there are mounds of McDonald's wrappers on the back seat, think carefully. Look at their driver's license to see should they are really who they say they're. Take only cash until they transfer.
If you actually like them nonetheless they do not have all the money needed, permit them to possess a payment schedule- in writing- but think of it as rent-owed. The money they pay first is option money. The money they owe you is rent. That way should they move in and welch, it is possible to evict them for non-payment of rent. It's tough to evict due to non-payment of option money.
I succeeded in doing so successfully even from out of state. Many times I never met the folks. What do I care what you resemble. If they qualify, they qualify.