“How to Make Sure
Your Real Estate Options Pay Off”
To get my complete article
with all the details…
What’s the best way to increase your profits on real estate options and rentals with options?
Well, if you decide to play the options game, you could come out a big winner, but you really need to know what you’re doing.
Handle things incorrectly, and you could owe Uncle Sam some nasty taxes.
Here are three important things you need to know
before you grant real estate options.
- Be sure you get the option-cash up front
- The option cash is your cash, to do with as you please on the day you receive it
- Good news. You face no income taxes on this cash!
Plus, I’ll cover:
- Basic tax rules for options
- Stand-alone purchase options
- Lease with option- to-buy
- When the option is a conditional sale
- How a lease complicates the option
REMEMBER: When you add an option to a lease, you trigger an enhanced set of tax rules. You need to follow them carefully to protect the option and not trigger a tax-code-enforced sale of the property.
A final word...
If you decide to play the options game, you need to read my new article.
“How to Make Sure
Your Real Estate Options Pay Off”