Lease Options or Rent-to-Own,
Working with Real Estate Agents

Getting Realtors Begging You to Buy
Their Listings

© 2009 by Wendy Patton

The best way to find lease option or rent-to-own deals
is by working with Realtors. There are two main issues that involve
Realtors and investors. Should I become a Realtor? (and) How can I work
with Realtors?

Working with Realtors:

Many investors think that real estate agents don't have the best deals,
or they have all been picked over by the time they actually hit the
market. I believe that some of the sweetest deals are sitting on the
market. We automatically think that Realtors, or their clients, will
snatch up the best deals before they hit the market. It is true that
some of the best deals do get snatched up before they hit the market,
but-there are many other deals left behind that no one sees. The reason
that no one sees them is because they are looking for traditional' or
what I call "retail" homes, not lease option or rent-to-own homes.
These are two very different markets. The retail market is what 90 % of
the people and investors understand. The Lease Option or rent-to-own
market takes up a portion of the remaining 10% of the market.

I look to work with Realtors that understand the concept of lease
options and can help their sellers understand lease options or
rent-to-owns. This understanding can take time. Your job is to assist
Realtors to understand lease options. I do this by using several
techniques. First, I have a letter that I send to a listing agent
explaining the concept, second, I have a presentation that I do for my
local real estate offices, and third I network and continually tell
Realtors what I do. I hear investors tell me all the time that Realtors
just don't understand or want to understand what they do. I can only
say that patience and persistence pays off. Realtors aren't trained in
unique selling techniques; they are trained in the "Retail Market"'
which is 90 % of what is out there. As investors, it is our job to
continue to help those around us understand what we do so they know
when to call us.

The type of home I am looking for through a Realtor is one that the
seller:

• Doesn't need their equity out
• Doesn't have any equity in their home
• I prefer the first one as they are a safer seller for me and they usually have a lower mortgage payment, if at all.

When a Realtor hears a seller say, "If my home doesn't sell soon I
might have to RENT it!," then the Realtor should think of you.
(assuming you have continued to remind them of what you do) All you
need is 2-4 good listing Realtors. Listing Realtors work directly with
the sellers and know which sellers are in trouble, which ones can rent,
and which homes are vacant. Once a Realtor knows what you do and has a
seller that can accept your terms-wow! You are the proud new owner of a
lease option.

One of the most important things for anyone is that they get paid for
what they do. Realtors are just like everyone else in this regard. When
I am taking on an option, I am asking the seller to wait 2-3 years to
get cashed out. I don't want to make the Realtor wait that long. If I
do, they won't even tell the seller about what I can offer. Why should
they? It might not do them any good. They are doing all the work now to
get the deal done and want to get paid for it. So I give them the
listing agent portion of the commission up front in a seller's market.
This is my option fee and is applied to the purchase price when I get
my mortgage or when I sell the home. The agent is therefore paid on
what they do just as if they sold the home conventionally to another
buyer. When you sell the home you will be asking for 3-5% down from
your tenant/buyer (in a seller's market), therefore, you are still
minimal or zero down/out-of-pocket. If you aren't a licensed
agent/broker and entitled to ½ of the commission, then let the "Realtor
Double-Dip." They can get the listing agent portion down upfront from
you and the selling agent portion when the home closes in 2-3 years.
They will wait for the second half of the first half is paid up front.
The second half would just be a bonus that most agents wouldn't expect
anyway.

NOTE: If you are in a buyer's market use 1% down for the agent to start
the option. The tenant buyers in a buyer's market will only have 1-2%
down as well. Therefore, in either market, a buyers or sellers, the
amount you are giving to the Realtor will align with what you are
receiving from the tenant buyer. In either market, however, the amount
you are giving to the Realtor will be credited off of your purchase
price when you close on the property.

When you start to work with Realtors and they start to bring you their
listings you will have more deals than you will know what to do with.
Realtors will be "Begging you to Buy Their Listings."

Wendy Patton is one of the nation's leading experts in lease option or
rent-to-own real estate.  She has trained thousands of real estate agents, real estate investors,
home sellers and home buyers in doing lease options
or rent-to-owns.




Rent-to-Owns or Lease Options are going like crazy for Wendy’s Student Ken Edmonds

Take a look at this recent testimonial from lease option or rent-to-own investor Ken Edmonds. He is a student of mine and his phone is ringing off the hook with buyers wanting to do rent-to-buy. He got over 300 calls from just one ad! This market is about as good as it gets for doing rent-to-owns or lease options.
Now is definitely the time to do lease options or rent-to-owns. Visit my website to get started with your lease option training or rent-to-own training.




The Basics of Buying and Selling with Lease Options or Rent-to-Owns - Part 1



My new book Rent-to-Sell is doing great! If you are a home seller or a real estate agent you should definitely consider selling your home or listings as a rent-to-own in this real estate market. It can be a great solution if you are having trouble selling.
Take a look at this video where I go into some details about Rent-to-Sell and what it can offer you -



Remember, this book is now available and you can purchase your own autographed copy of Rent-to-Sell.