How to find lease option properties in the United Kingdom Before we start looking at how to find the lease-option properties in the UK it is a good idea to take a closer look at exactly what is a lease option and how it works. It is a financial tool that gives the holder the option to buy or sell a property at a fixed price agreed in advance. The sale price and length of the lease are agreed upon when the option is created.
In the UK, investors have been using lease options for properties to secure an option to purchase properties and then generating an income by leasing it back to the owners. They pay the seller for the option, usually for a nominal or small fee but this is negotiable. Lease option properties can be very powerful tools. However, it can be difficult to find sellers that are willing to work with you in this way.
Lease option properties, or PLOs as we call them, is a way of you getting cash flow and equity growth from a property you don't even own. You rent the property for a number of years and then you have the right, but not the obligation, to buy that property. This would be for a price you agree at the beginning of the option period. It's a very powerful strategy.