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Regarding my lease option contract...?
In our contract, he set the price for one year at x amount and the second year for $6000 more which essentially robs me of my rent credit for the prior year. Is that legal? I've been told he should have locked in one price for the two year period. What good is rent credit if the price goes up every year. I know the house did not appreciate $6000 since last year in this economy. Yes, he saw me coming. I am already in my second year. He has set me up to fail. He said he'd help me clean up my credit (did not), fix needed repairs (did not) and now there's no way it will appraise for the price he wants. These should be illegal in Illinois.
Public Comments
- It sounds like a legal contract - you signed it so you agreed to the terms. Reading between the lines it sounds like you do get a rent credit if you wait until the second year to exercise your option. Is it a lease - option or a lease to purchase? Sounds like you have an incentive to purchase within the first year. realtor.sailor
- Sure it's legal -- it's your option to continue the lease at that price after this years lease expires. I'd talk to him and find out what his plans are for the place since doing that usually means he wants out of the lease after the first year. Tell him you're not paying 6000 dollars more in rent next year, and that he should amend that to a different amount if he wants to continue renting to you. (he may have thought he could sucker you into it because you may not notice it until too late?)
- The contract terms regarding price are open to negotiation. The law says nothing about prices or terms -- that is up to you to determine them. To answer you question -- no it is not illegal.
- Realtor is right. Learn a lesson - lease options only sound good. As an owner I do not want to lock in a price in case the market goes up so I will use this fast talk in the option - you thought you were getting something, but didn't really - and you were willing to pay extra for it. Save your money and buy a house outright or renegotiate this deal - perhaps they would want to be fair, because in this market there are not too many places that are appreciating.
