Lease Option or Subject 2 - Which is Better?

[Doug Pretorius]

Alvin, if you need to spend more than 2 minutes explaining your offer (to buyers or sellers) so that a 5 year old can understand it, then you are talking to an unmotivated buyer/seller. At that point you've moved passed educating and you are fully engrossed in JUSTIFYING. If people don't get it then forget them, you'll spend days and weeks answering all their questions only to end up without a deal.

The deadliest question of them all is: "How does that work?" followed closely by: "What's in it for me?" If a buyer or seller doesn't quickly grasp the basic concept and see how it can benefit them, then you are wasting your time. No way will you ever convince them otherwise and the more you try the less interested they become.

While the specifics of how you or I or Cash approach this business may differ, it all more or less boils down to this for buyers: "You pay $X per month for X years and then cash out for the balance of $X." If they can't understand that then they are too stupid to help.

[defcon]

i agree.  ive learned alot by making mistakes and learning from others. 

i'll work that under 2 minutes.

[browndor]

I personally beleive there are pros and cons to each.  Subject 2 is great because you own the home and you can do what you want, but what about those mid-seasoned investors lick myself?  I personally can't afford to purchase every home that is a great deal.  For me, doing the option payment with the seller because i have an opportunity to make money with very low risk, and if things don't work out, i can walk away.  So with that being said, it really depends on what you can afford to do.  If you can purchase the home, the sell S2, great!  If not, L2P is the way to go.