Property Options, Lease Options and Flipping

[Artlife]

Hi All and Seasons greetings. Can anyone assist me with info on Property Options, Lease Options and Flipping legal contracts and paper work for conveyancing and agreements in NSW Australia?
I appreciate your time and assistance now.
Ian

 

[fatbelly]

Also interested in learning more about these strategies in Australia. I currently live and invest in NZ and are looking to implement some of these strategis in Oz soon, so keen to talk to people that are already trading property in a big way in NSW or QLD.

 

[Xenia]

Property options are just a call option contract that can be on sold for a profit. The investor is the grantee

Lease options are a form of writing a call option over a property where the investor is the grantor. These are combined with a lease agreement and the call option is sold to the tenant for a consideration. The combination of option consideration and lease can make a property cash flow positive or at least less negative for higher priced properties.

Flipping is a normal sale contract that is assigned to another investor for a consideration. Be very careful with this one, accepting a commission for assigning a contract can breach the land agent's act and attract a fine. It is $20,000 fine per transaction in SA if you do not have a license.

Any solicitor can draw up contracts the contracts are not the problem. Negotiate the deals first and all else will be worked out!!!