Entering into a 10 year lease , with an option to buy within a 3 year period , what terms are needed NY/pk

Do you establish price or say at fair market value?
In Leasing Property - Asked by Pamela K. - Jul 16, 2014
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Ben T.
Cincinnati, OH

I would establish a price upfront. If you have to buy with in the first three years the market value is most likely not going to fluctuate that much in such a short time period. Also, if you obligate yourself to a ten year lease without having a price the LL has certainly got the upper hand in that negotiation when it comes to the point where you want to buy. If the LL has an issue with setting a purchase price upfront for inflationary reasons tell him/her that you want to establish fair market value now and tie and annual adjustment to the CPI (consumer price index).

Jul 17, 2014
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