Options, Open Deeds and Land Contracts


#1

Hi,

if I hold an option (with right to sublet) on a property and the seller signs and places and Open Deed into escrow (to be delivered to me if I exercise within the Option period) - can I sell that same property on an owner finance structure like a Land Contract/CFD to another buyer - with the term falling within my option period - if the same is not recorded?

Thanks


#2

Depends on how the paperwork was written, but it seems like a lease/option is what you have, so you can’t really sell on a contract for deed because you don’t have equitable ownership. An option is a personal right, which does not give you equitable title. If you convert the option/lease into a CFD, then you can resell on a CFD.