About
Deed Exchange's EPM - Occupancy
Leasing Single Family Residents Houses
(4 units or less - Condominium - Townhouse)
Tenant / Rental
• No Deeded Interest Ownership:
• Rental Requirements:
Month-to-Month Rental
Current rental rate
Deposit equal to the rental
rate plus $400.00.
Owner / Leasee
• Deeded Interest Ownership:
• Lease Requirements:
Lease Agreement one year
Minimum Deeds 25 as deposit,
free and clear (no loans)
The person (natural person) that has the most Deeded interest in
that home has the first right to occupy the home, one home at a time.
The home cannot be re-rented or sub-rented or sub-leased or any other
thing, you must personally occupy that home.
Lets say, you have a 50 Deed interest in a home, and there are no others
that want to live in that home, that have a larger deeded interest.
You will have a one-year lease agreement for that home, which will
be renewed each year, at the current rental rate. You qualified for the
lease on the home with your 50 Deeds. Your 50 Deeds are placed as deposit
for the lease. All you pay is the lease amount to move in. Lets say in
6 months someone has a 70 Deed interest in the same Home and wants to
live in the home.
They ask the Exchange Property Management (EPM) to give you notice,
by placing their 70 Deeds on deposit for the notice.
You have a remaining 6 months on your lease and you have 50 Deeds
as deposit, your notice will be 6 months plus your deposit (see below).
Base Value = $150.00
Lease Rental Amount = $ 1,000.00
6 months remaining lease
Base Value = $150.00
50 Deeds times the Base Value = $7,500
$7,500 divided by your rental amount = 8 months
Your notice would be 14 months from the date of notice. But it can
not be sooner then the end of your lease.
NOTE: Financed Deeded interest cannot be used to calculating the
notice period.
Your deposit is not used to pay the lease payments. It is used only
to calculate the notice period.
Now, that gives you 14 months to purchase additional interests in
that home or trade or sell your Deeded interests for another home. Once
you have 71 Deeded ownership and have placed the additional Deeds on deposit,
the notice is cancelled. If that is before the end of your lease, your
lease will be renewed at the end of your lease period at the current rental
rate. If you placed the additional Deeds on deposit after the lease as
ended, in the notice period, a new lease agreement will be made with you
at the current rental rate.
Now you have 71 Deeds on deposit.
You only need to have the number of Deeds on deposit that is required
to qualify for the home, or the right to lease. You may use financing
to purchase additional Deeded interest, but Deeded interest that are financed
cannot be used for calculating the notice period. The more Deeds on deposit
the longer your notice period will be, 250 Deeds would be 38 months notice.
Once you have 51% ownership you would have a life estate in that
home, which will allow you to make improvements without approval and have
the option to reduce your lease payments by about 50% based on your ownership.
Terms of the Lease Agreement:
The Leasee will provide for all light maintenance and care of the
home, as it is your home. The home will have a Warranty Program to take
care of the more costly small repairs and Deed Exchange EPM will take care
of major repairs, paid from the income of the home. An Owner / Leasee
may be allowed to make some repairs personally and may request improvements,
which may require contact each owner for approval, unless the owner /
Leasee has 51% of ownership.
The Leasee will provide liability Insurance and Homeowners Insurance.
The Fire, Flood, Earthquake and additional liability insurance will be
paid from the gross income.
Your lease payment is due and payable on the first day of each month by
5 PM in the form of cash, cashiers check, money order, direct deposit,
ATM, PayPal, Credit Card, or you may use other forms of cash payment that
is acceptable with EPM. We will never accept personal checks.
If the lease payment is not received on the first day of the month
by 5 PM, there will be a 5% late fee added. If the lease payment is not
received by the 15 day of the month your Deeds will be sold to pay for
the lease amount, late fee, and cost of the sale of the Deeds and your
lease will be cancelled and you will receive a 30-day notice to move.
Your remaining Deeds on deposit will be held and used to pay for any and
all damages including rent and cost. After inspection and any repairs
have been completed, your remaining Deeds will be returned. Deeds on deposit
shall not be sold for more then 10% less then the Current Value.
If there is any intentional damages or vandalism your names will be placed
on the "No Lease List” in the database and you will never be
allowed to lease any property again.
At the end of each lease period, the new rental rate will apply
for the renewal of the lease.
With the EPM (Deed Exchange) you do not need to qualify to live in a home,
just a simple verification of income.
Deed Exchange EPM makes single-family residency easy and affordable.
There are no qualifying requirements or large deposits, just because you’re
a tenant, or any of the other requirements associated with traditional
home ownership and rentals.
Personal Check are not accepted at any time.
Business checks require approval.
Lease payments may be paid by, direct deposit, money orders, cashiers
check, and:
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