Recently one of the greats passed away, of course I am referring to the king of pop, Micheal Jackson and being the fan that I am I have done some searches lately just to find out a little more about his lifestyle before he passed.
After a little time spent with Google and Yahoo I saw that the amount that Micheal Jackson was paying for a lease on a mansion was staggering.
I thought to myself, holy smokes, I can’t believe someone would lease something for 100k why not just buy or at the very least do a lease to own so that some of the payment could go toward buying the property. Of course when you make as much money as Micheal Jackson I am sure it really doesn’t matter but still it seems like a huge waste of money when he could have been gaining an asset for his empire.
Know he may have been leasing a mansion while planning to build his own or it could be a solid business decision that by moving there made him and extra 100k a month who knows, but for the avg American it helps to understand that leasing real estate is not the best way to go if you can buy.
However if you can’t qualify for a loan in this market doing a lease to own deal on a house may be the only way you can buy a house. For example if you were to lease to own a house in Jackson ms right now you may be able to make some really good deals because there is a bunch of real estate for sale in this market right now.
Lease to own is good but make sure you work with a trustworthy person and put everything on paper.
This buyers market makes people desperate but when the market changes if you don’t work with the right people you may find yourself in a messy battle when the seller doesn’t want to honor the deal
I am sorry that Micheal Jackson is gone but, there are some things you just don’t want to follow for superstars. In this case don’t follow his example and try to gain ownership anytime you are spending money. Unless you are a King and you have it to waste.