Lease Option vs Lease Purchase
By Cliff Johnson, Personalized Real Estate whether buying or selling
(Solid Source Realty)
Lease Option vs Lease Purchase Buying a home through rent to own contracts has become more popular in recent years and there are two basic platforms that are most often used in these scenarios; a lease purchase or a lease option. While they are similar, there are some big differences that may affect your decision in choosing which is right for you. Lease Option – This option is simply a lease agreement that gives the tenant an option to purchase the property before or by the end of the lease period. The specifics can vary depending on the two parties involved. Lease Purchase – This option is a rental agreement that has a sales contract included in the lease. This type of agreement stipulates that the tenant will purchase the property at the end of the lease. Unlike a lease option, the ...