Additional benefits for the landlord/seller

Sales Price At the Top of the Range. You attract more buyers who are willing to pay a premium to get on the path to home ownership, allowing them time to raise a larger down payment or improve their current financial situation.

Above Market Rent: Since you are flexible on the terms to accommodate the Tenant/buyer's situation, you can demand a higher than usual rent.

Positive Cash Flow: Since you can demand a higher than usual rent, your positive cash flow will increase.

Non-Refundable Option Consideration - Up Front Minimum Risk: When a tenant/buyer signs a Lease Purchase Agreement, you receive a non-refundable option deposit that is yours to keep should they default or decide not to buy.

Faster Marketing: Since Lease Purchases are in high demand, you will save on advertising costs because your home will move more quickly. Also, you can offer your property for straight rent and for Lease Purchase at the same time. You are now drawing the interest of a larger market: the regular tenants and those in the market to purchase a home. Time on the market is much shorter than if you have the property listed for sale only.

No Agent Commissions: Since you are selling your home by owner, you will avoid paying real estate agent commission, which can add up to thousands of dollars.

Attraction of the Highest Quality Tenants: Because you are renting to tenants who have a vested interest in your home, they think like homeowners and tend to take good care of it.

Less Maintenance: Tenants who have a vested interest and believe they are a homeowner may feel a "pride of ownership" that encourages them to pay on time, perform maintenance and make improvements to your home. Just make sure you require prior written approval for any improvements your tenant makes to the home.

Because your name is on the title, tax benefits are in place for you until you actually sale the property.

Lease Purchases over 12 months in length may make the qualification process for a mortgage easier for the tenant, and make a large loan with a lower down payment possible. This will help you close the transaction at a higher price.