Texas Lease Options

[NoMoneyDown]

I agree.  Using Land Trusts may be the answer, however, I'll remain cautiously optimistic until I can talk with a real estate attorney who is well versed on the subject.  Even then, as the one lady attorney alluded to, the court system is more of an art than a science.  So even though using land trusts in this manner could be legal on paper, a judge could still use subjective reasoning and say something like the investor was trying to weasel around the new law.

[Valgolas]

I have yet to find an attorney who really understands land trusts.  If you can find one, good for you!

If structured correctly, it would appear that the land trust would allow you to circumvent the language of the new law.  The politicians didn't think of everything on this go-around.  They might add new language to the law in the next session, however.

But can you explain this method to a civilian tenant/buyer without looking like you are up to something shady?  

And just wait until the Tenant Legal Aid attorney gets you in front of a judge to explain the business purpose of your contract structure.  

Is it going to be worth the trouble?

Land trusts have their place, but in a simple house deal with a layman tenant, can you make this work without looking like the crooked investors who caused this law to be enacted in the first place?

[blondie777]

Well, I was hoping someone had posted a way around the new laws concerning Lease Options in Texas.

I probably invest a little differently than the way the guru's teach, I actually carry the mortgage on my properties.  One obstacle out of the way.  As far as doing a lease purchase, I woulder if I could write it up as a rental with a 3% non-refundable deposit (old option fee), and include a sales price in the contract if the person decides to purchase before the lease runs out.

Comments?

Hi Matt,
Did you find a solution?