Exploring the Benefits of Lease Option Properties for Sale in the UK

There is no doubt that property investment is a popular way for people to start making money on investment and diversify their portfolios. That being said, it can be tricky getting into property investment because of the fact there are so many different routes available for buyers to explore. Some people buy outright, some take out a mortgage, whilst others opt for a lease option agreement. 

A lease option agreement is when a tenant is given the option to either completely renew or extend their lease of a property. There are clear differences between an option to renew and an option to extend as they both work differently from one another and both carry their own implications. 

An option to renew means that the original lease that was put in place was coming to an end, and then a completely brand-new lease is created off the back of that. The terms of this new lease are exactly the same as the previous one (although can be subject to variations if either party deems them necessary). 

When a lease is extended then the same lease is kept in place and it is simply extended. There is no need to sign a new lease and there is no option to make necessary changes. 

The terms which are outlined in the option to either extend or renew need to be stipulated in the original lease, which needs to discuss the length of the original lease and the extension/renewal of the new lease. They should also outline specific modifications and rent which are usually agreed between the tenant and the landlord. 

Visit to know more about the benefits of lease option properties

Location: United Kingdom

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