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I just bought a house to rent out, can I turn it into a lease to own while still owing the bank?

I figure if I sell it with a second lien, I won't have renter's asking me to fix things and they will take better care of it and I will make money off of it too! Maybe I could sell it as a lease with the option to buy? Any ideas?

Public Comments

1. hmmmmmmmmm
2. You need a lawyer.
3. You can sell it as a lease to own, as long as when the tenants buy it out, you make enough to pay off your original mortgage. Depending on the size of their downpayment, the length of the lease, and the amount of payoff, you might want to put some extra money towards your principal whenever you can, or you'll end up owing more than you sell it for.
4. You can lease it however you like. If you "sell it" unless you have the ability to have someone assume your mortgage you will have to pay the entire first mortgage off (usually called a "due on sale" clause - standard in many mortgages today). If you sell it you are not renting it and vice versa. Good luck. Joe...