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Ranjan explains everything very clear and consise, the best explanation of lease options on the net to date. He even mentioned to use a commercial lawyer for one. I hope to see more of his financial strategies in the future, and any possible mortgage and commercial loan deals. Thank you Ranjan.
Many years ago, a friend of mine took an option on a field on the opposite site of the finish line, of Ascot racecourse, which is on the banks of the River Thames. That field is now is now Winsor Marina. It is one of over 10,000 UK properties owned by the Tingdene Group. See Tingdene Marinas. Happy to introduce you to him at some point Ranjan. He was my Best Man at my wedding. He can share some proper roller-coaster stories. That deal was a high point, the biggest dip ever was when one of his co-directors was shot and killed on arriving at a holiday hotel in Argentina last year when a mugging attempt went bad.
Hello Ranjan, another great video. I would say I am fairly experienced as I have a portfolio of 100+ properties. I have done a lease option from memory only once. It was a large grade 2 building in a very sorry state, no kitchen, bathroom and leaks everywhere. The vendor found it very hard to sell as no one was able to get a normal residential mortgage. Did lease option for 2 years while works were carried out and then purchased at the end. Its also funny how some gurus think lease options are a new thing. Back in the 1960s and 1970s my father would rent retail shops with the option to purchase.
Thanks for restoring my sanity Ranjan! Lot's of developers use option agreements where there is a potential re-development or development opportunity. As you outlined, their use is really for some form of development or bringing back a property to current regs, like a loft conversion or extension that does not meet regs for example. Clearly in your flats you had to do a lot of fire regs work plus sound insulation. Maybe you had asbestos removal too. All this stuff is not easy for a beginner!
Makes sense. Very well explained. So essentially the vendor needs to get people who have both plans and knowledge as it will reduce the problem going back to them when the option falls due. What can a vendor do to maximise that potential?
Thanks for sharing the knowledge. This should hopefully prove the point that lease option is not a get rich quick scheme that 'some' property gurus want the new investors to believe.
I just wanted to say thank you so much for this amazing video. It is extremely well presented and concise. I have been looking at ways to get into real estate investing and ,as you mentioned, lease option agreements are always presented as a way for people to get into property with no money. Just a quick question, how did you negotiate your rental on the lease option? Did you make a spread on the rent? And if so what sort of rental discount should I be asking for if I were to lease the property for five years instead of what they would normally get for a one year rental agreement. Thank you so much again. I do have a few more questions and if you would be willing, what is the best way to contact you? (P.s. I do have sufficient capital for a 5% down payment and renovation costs.)
Do you know if it’s legal to sandwich the lease option in the UK as we do in the US? Meaning you get a lease option then you turn around and offer someone else a lease option on the same property.
What do you have to say about high upfront costs when deciding about a LO deal? Should that be a red flag or perhaps a way to renegotiating the purchase price? Thanks
What happens when fixed rate ends, new internet rate is higher than agreed rent? How would you pay a broker for bringing the deal - at sale in 5yrs time or a one off at LOA sign?
Hi Ranjan, with regards to applying for the certificate of lawful use for the flats in your case study, did the council penalise the vender, say with a fine for letting it as flats for several number of years without the required approval of planning? And just a quick word to say thank you for all the informative and inspiring videos.
Thank you for this video Ranjan. Just what I needed. I am thinking of this option but still unsure what I should do. Me and wife want to move from our 2 bedroom new build which I’ve owned for 8 years. Now looking for a 3 bed room house. Thinking to just sell current 2 bed room house and use equity- using it for the deposit on the new house. Is this the best option for us? Or is the lease option better? Please give us some advice if possible. Thanks again Justin
Hi Raj Is sourcing dead for investors keeping in mind the access to technology and information Investors Can have these days? Would you recommend to take a property franchise for Start ups instead of banging their heads against the wall?
Ranjan Bhattacharya - Succeed In Property Thanks for coming back to me. I meant to ask you about sourcing ie (pick pack and sell on for a finder/Sourcer fee that includes LO, rent 2 rent, JV, conversion & arranging funds for them for developments. I believe you do offer funding facility can you share with me the link too. Thanks a lot.
My issue here is the 'regular rent' that you would pay the landlord until the option is exercised. This rent would be far lower than he would be used to, why would he be happy with a couple hundreds pound rent when he is used to alot more? thanks
These arrangements all depend on vendor circumstances. Vendors who welcome these arrangements do not have time/inclination to actively manage the properties and therefore welcome having someone else take that on.
could you still do this by looking mainly at the rental income that could be made during that time, and making small home improvements throughout the tenancy you have opted for, then handing it back to the vendor with a higher valuation so you have made money from the rental income whilst also making money for the vendor where they can sell the property for a higher price than they were originally offered, this would most likely be for starting investors with a small amount of cash on hand
Would this work with a house to live in? I’m looking to sell my home (£300k) and rent somewhere while I use the money to build up a ltd company property portfolio for BRRR... could I find a property worth £500k and offer them a monthly rent with a guaranteed purchase in say 2/3 years?
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Ranjan explains everything very clear and consise, the best explanation of lease options on the net to date. He even mentioned to use a commercial lawyer for one. I hope to see more of his financial strategies in the future, and any possible mortgage and commercial loan deals. Thank you Ranjan.
Thank you. Much appreciated
Many years ago, a friend of mine took an option on a field on the opposite site of the finish line, of Ascot racecourse, which is on the banks of the River Thames. That field is now is now Winsor Marina. It is one of over 10,000 UK properties owned by the Tingdene Group. See Tingdene Marinas. Happy to introduce you to him at some point Ranjan. He was my Best Man at my wedding. He can share some proper roller-coaster stories. That deal was a high point, the biggest dip ever was when one of his co-directors was shot and killed on arriving at a holiday hotel in Argentina last year when a mugging attempt went bad.
I love you man. I formed my business in may 2019. I always use you as a guide before taking major action.
Hello Ranjan, another great video. I would say I am fairly experienced as I have a portfolio of 100+ properties. I have done a lease option from memory only once. It was a large grade 2 building in a very sorry state, no kitchen, bathroom and leaks everywhere. The vendor found it very hard to sell as no one was able to get a normal residential mortgage. Did lease option for 2 years while works were carried out and then purchased at the end. Its also funny how some gurus think lease options are a new thing. Back in the 1960s and 1970s my father would rent retail shops with the option to purchase.
A fantastic video Ranjan!
A very informative video, great to someone explain this well.
Unlike Samuel ;)
Thanks for being honest about leasing option is not a tool for a new inexperienced investor.. I'm new into property
Great Video, Ranjan. it's good to know that you needs more experience in property development projects before exploring this strategy.
A good balanced opinion of a option with warts and all great job
He's good, he's got a Quinton Wilson esq sound and his approach is a factual, enjoyable learning experience. Thankyou
Informative as always Ranjan, no BS sales patter keep up the good work !
Thanks for restoring my sanity Ranjan! Lot's of developers use option agreements where there is a potential re-development or development opportunity. As you outlined, their use is really for some form of development or bringing back a property to current regs, like a loft conversion or extension that does not meet regs for example. Clearly in your flats you had to do a lot of fire regs work plus sound insulation. Maybe you had asbestos removal too. All this stuff is not easy for a beginner!
Information is clear and easy to understand
Makes sense. Very well explained. So essentially the vendor needs to get people who have both plans and knowledge as it will reduce the problem going back to them when the option falls due. What can a vendor do to maximise that potential?
Thanks for sharing the knowledge. This should hopefully prove the point that lease option is not a get rich quick scheme that 'some' property gurus want the new investors to believe.
Very useful and informative! Blows a lot of the BS information I have learned about Lease Options in the past!
A lot of truth in this video, thank you!
As always ,very good video. Thank you Ranjan
very useful video Ranjan, straight to the point, clear and concise. Some special effects in the background too :)
Hi Ranjan. I saw the video and watched first time. It is great video and tips
Good video, I’ve actually listened to many videos and they all didn’t explain how you did. I would like to visit your property meet up.
Last one is Key ...
And that is what i was thinking..
Thank you for your honest view on PLO or LOA
So good!
Excellent and informative presentation. Thank you
Love this!
Very well explained. Thank you!
Great video Ranjan. How do you actually come up with the rental price you pay in the meantime? Do you have a framework to think about this?
I just wanted to say thank you so much for this amazing video. It is extremely well presented and concise. I have been looking at ways to get into real estate investing and ,as you mentioned, lease option agreements are always presented as a way for people to get into property with no money.
Just a quick question, how did you negotiate your rental on the lease option? Did you make a spread on the rent? And if so what sort of rental discount should I be asking for if I were to lease the property for five years instead of what they would normally get for a one year rental agreement. Thank you so much again. I do have a few more questions and if you would be willing, what is the best way to contact you? (P.s. I do have sufficient capital for a 5% down payment and renovation costs.)
Thanks Ranjan for all your great efforts I wish I got meet you and have coffee ✌️from Dubai and wish all to stay safe
Do you know if it’s legal to sandwich the lease option in the UK as we do in the US? Meaning you get a lease option then you turn around and offer someone else a lease option on the same property.
Please answer this question
Fantastic! Thank you!
loved the cheap as chips pop up ! lol
What do you have to say about high upfront costs when deciding about a LO deal? Should that be a red flag or perhaps a way to renegotiating the purchase price?
Thanks
informative with some good ideas.
Thank you
What happens when fixed rate ends, new internet rate is higher than agreed rent?
How would you pay a broker for bringing the deal - at sale in 5yrs time or a one off at LOA sign?
Hi Ranjan, with regards to applying for the certificate of lawful use for the flats in your case study, did the council penalise the vender, say with a fine for letting it as flats for several number of years without the required approval of planning?
And just a quick word to say thank you for all the informative and inspiring videos.
Thank you for this video Ranjan. Just what I needed. I am thinking of this option but still unsure what I should do. Me and wife want to move from our 2 bedroom new build which I’ve owned for 8 years. Now looking for a 3 bed room house. Thinking to just sell current 2 bed room house and use equity- using it for the deposit on the new house. Is this the best option for us? Or is the lease option better? Please give us some advice if possible. Thanks again
Justin
Can the lessee/tenant sell the lease option property without the seller's consent?
Hi, where do you find investors/properties in the situations you mentioned?
Beautiful
Can you live in a lease option property yourself rather than rent it?
Hi Raj
Is sourcing dead for investors keeping in mind the access to technology and information Investors
Can have these days?
Would you recommend to take a property franchise for
Start ups instead of banging their heads against the
wall?
Hi. Can you be mpore specific on the first part of your question? Are asking whether deal sourcing or deal packaging is a sensible strategy?
Ranjan Bhattacharya - Succeed In Property
Thanks for coming back to me.
I meant to ask you about sourcing ie (pick pack and sell on for a finder/Sourcer fee that includes LO, rent 2 rent, JV, conversion & arranging funds for them for developments. I believe you do offer funding facility can you share with me the link too. Thanks a lot.
My issue here is the 'regular rent' that you would pay the landlord until the option is exercised. This rent would be far lower than he would be used to, why would he be happy with a couple hundreds pound rent when he is used to alot more? thanks
These arrangements all depend on vendor circumstances. Vendors who welcome these arrangements do not have time/inclination to actively manage the properties and therefore welcome having someone else take that on.
could you still do this by looking mainly at the rental income that could be made during that time, and making small home improvements throughout the tenancy you have opted for, then handing it back to the vendor with a higher valuation so you have made money from the rental income whilst also making money for the vendor where they can sell the property for a higher price than they were originally offered, this would most likely be for starting investors with a small amount of cash on hand
in your example how did you modify the flats with live in tenants? did the tennants complain ?
The flats were on AST's holding over. So we just gave each flat 2 months notice to vacate and did them 1 by 1.
My neighbour wants to sell their rebate house but I want to re mortgage and offer them a lease option agreement is that a bad idea?
I'm in London
Would this work with a house to live in? I’m looking to sell my home (£300k) and rent somewhere while I use the money to build up a ltd company property portfolio for BRRR... could I find a property worth £500k and offer them a monthly rent with a guaranteed purchase in say 2/3 years?
How you getting on with this
I want to do this with a AMAZING property near me ..
Most of what you say seems
OBVIOUS to me ...REALLY obvious.....
I bought house and sold on lease option
Do you split the capital appreciation 50/50 when the buyer decides to buy the property at the end of the term?
I thought it was harder than bandied around.