Wholesaling lease options has become a very popular trend over the last few years, yet often results in some very difficult questions for real estate investors to answer. So what are some of the most common objections and questions faced, and the answers to them?

Wholesaling lease options is a niche of wholesaling properties. It’s been trending up significantly since the end of the last housing run. Yet, while potentially very profitable, some argue it is getting too creative.

Compounding the regular challenges of flipping houses the added challenge that comes with wholesaling lease options is that many sellers are not familiar with how they work and nor are their agents.

7 of the most common questions and concerns of sellers and their Realtors in this scenario include:

1. Will they be locked into keeping the tenants?

2. What happens if renters are messy or fail to take care of the property?

3. What surety is there that these prospective buyers will stay?

4. What are the benefits for sellers and their Realtors?

5. How will affect Realtor agent commissions?

6. What happens in buyers fail to execute the option?

7. What happens if sellers default on any existing debt on the property?

8. How are tenant – buyers qualified?

These are all valid questions and concerns. Those investors that have invested in their real estate education should have a good handle on most of these answers, but many have not. So while building their knowledge, how can these objections be overcome?

Many attorneys suggest making these two separate agreements; a lease and option contract. This makes the transaction much simpler for most to understand and familiar. This will solve most of the questions.

Realtors should also embrace lease options for their clients as they are often able to negotiate a commission for the lease and for the future sale.

If a lease option can’t be negotiated, then there are a variety of other options for taking down these deals. Investors could simply stick to assigning and flipping real estate contracts, setting up options to buy without leasing in the interim, sticking to buying and then reselling, or even utilizing transaction funding to wholesale properties fast and with little to no cash out of pocket.

So brush up on your education, hone your answers to these questions, and have a plan B ready if your lease option offer gets shot down.

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