Another nice thing about Lease Options is that you can usually get a longer lease. If option has a 3 year term, you can get a lease for same period. Renters, on other hand, will usually only give you a one year lease.

The longer lease better. I suggest that you get at least 1% lease option fee for every year of option. If they want to extend option, just charge them additional option money (which they can apply to their down payment)

If a tenant wants to move out before their lease is up, they still owe you balance of lease. This protects you and puts you into a strong negotiating position. Any concession you make for them is your decision. If someone wants to move out before their lease is up, here is what I suggest.

Make them continue to pay their rent until new tenant moves in. They can either make it available to show before they move out or wait for you to rent it after they move out. Either way, you won't lose money, plus you get to keep lease option money.

If you are in this situation with a tenant (not folks who are lease optioning), treat them same way and give them their deposit back if they leave home clean. Treat people fairly... just like golden rule says and it will benefit you in long run.

One last benefit of Lease Options is that when a tenant believes they are buying a home (rather than renting) they will treat it better. A homeowner is more likely to fix up a property and tries to protect their investment.

I cover this material in *exacting* step-by-step detail in my book.

*************************************** If you haven't checked out Joe Crump's "$0 Down Real Estate Investing With Bad Credit And No Job!" yet, go to his web site for full details. http://www.realrealestateexperts.com ***************************************

Often, a portion of their monthly payment and their lease option money will apply to their down payment, when and if they do purchase.

If they don't exercise their option to buy within time period allotted, option monies and any payments made toward house are forfeited.

Surprisingly, I have found that only a small percentage of Lease Option buyers will actually exercise option. (50%-60%) I cover this material in detail in my book.

*************************************** If you haven't checked out Joe Crump's "$0 Down Real Estate Investing With Bad Credit And No Job!" yet, go to his web site for full details. Click Here - http://www.realrealestateexperts.com ***************************************