| Before we get into the mechanics of writing a lease | | | | come up with is one that is acceptable to both you |
| purchase agreement, it might be a great idea for us | | | | and the other party (the lessee/prospective house |
| to acquaint ourselves with what the lease purchase | | | | buyer in case you are the property owner). In this |
| itself is, in the first place. Turns out that the lease | | | | regard, a number of things should come out very |
| agreement is one of the innovative ways of doing | | | | clearly in the lease purchase agreement, if it is to be |
| business in the property market; which is essentially a | | | | considered a well done document. |
| blend of the traditional lease and the traditional house | | | | One thing that you cannot afford to get wrong in |
| selling arrangement: such that the way at its core, | | | | drawing up the lease-purchase agreement (and which |
| the lease purchase is an agreement where the | | | | many people pay scant attention to) is the |
| property owner leases it out to another person | | | | description of the property in question. This becomes |
| entity, while also giving the lessee the option of | | | | extremely relevant in case the transaction becomes |
| purchasing the property at the end of the lease. | | | | a matter of court dispute, where the lease purchase |
| Like all transactions in the property market, the | | | | agreement drawn in getting into it is usually brought |
| lease-purchase calls for quite a bit of paperwork; | | | | before the court and interrogated: and where having |
| especially in the form of the documents that make | | | | gotten the description of the property wrong could |
| up for the lease purchase agreement. | | | | see a case you had a good chance of winning being |
| Now in answer to the question as to how to write a | | | | thrown out on a technicality. |
| lease-purchase agreement, the best advice would be | | | | Needless to say, another thing you cannot afford to |
| to consider making use of a property attorney, | | | | get wrong in drawing up the lease purchase |
| rather than trying to do it yourself, because this is a | | | | agreement is the figures (money figures, that is). |
| highly complex legal document, and a very sensitive | | | | Issues to do with what portion of the money that |
| one at that: which you simply can't afford to get | | | | the lessee is to be paying monthly is to go into |
| wrong. And you need not fear too much that | | | | paying the deposit for the house and what portion is |
| engaging a property attorney to help you in writing a | | | | to be ordinary rent for the house have to come out |
| lease purchase agreement; because most property | | | | very clearly in your lease purchase agreement. |
| attorneys don't charge too much for this kind of | | | | Exit clauses are the other element of the lease |
| service, and some will even offer to do it for free | | | | purchase agreement you cannot afford to get |
| provided you engage them as your legal advisers for | | | | wrong. These have to do with what is to happen in |
| the transaction, an arrangement where they get a | | | | the event of one of the parties to the agreement |
| small portion of the money you ultimately make out | | | | wanting to pull out of the deal; and you need to pay |
| of your property sale. | | | | very close attention to this part of the lease |
| But even where you engage a property attorney to | | | | purchase agreement, knowing that this is the part of |
| do the lease-purchase agreement for you, it is still | | | | these types of agreements from which the greatest |
| upon you to ensure that the document they finally | | | | number of disputes tend to stem. |