FAQs Land Trusts: An FAQ 1. What is a land trust? A land trust is a legal agreement where a trustee holds the title of a property for the benefit of a beneficiary. The beneficiary retains control over the property and directs the trustee’s actions. 2. How does a land trust differ from a living […]
Lease options have two basic sides or categories to them: We are going to buy or control with a property owner using a lease purchase arrangement Or we are going to sell on a lease with option to a former renter that wants to own the property. See the following sections Buying on lease options […]
Lease Options When Buying I always chuckle when I hear lease options when you buy. You’re not buying anything. You’re controlling it. When we negotiate with the home seller a good solution for them, we generally start with the least purchase arrangement. We will have the right to sublease and sub-option the property, This is […]
Selling on Lease Options will: Help you with taxation – if you hold a property for 12 months and one day, you will get better taxation, ie short-term capital gains. Usually you will get a better sales price Most probably you will get a better performing tenant that will take care of the property and […]
Subject to means subject to the existing financing. On the HUD-1 closing document. it says “loans taken subject to the existing financing”. Subject to is legal. Subject to does give rise to the due on sale clause. We use revocable Land Trusts with subject to. Sometimes we use subject to plus a promissory note for […]