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2020-10-11
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2020-08-13
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Below is a list of the most common customer questions. If you can’t find an answer to your question, please don’t hesitate to reach out to us.
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What is an open lease?
An open-end lease is a type of rental agreement that obliges the lessee (the person making periodic lease payments) to make a balloon payment at the end of the lease agreement amounting to the difference between the residual and fair market value of the asset. Often, open-end leases are used in commercial transactions.
What is the difference between an open and closed end lease?
Very simply, in an open-end lease the lessee assumes the depreciation risk but has more flexible terms. In a closed-end lease, the lessor assumes the depreciation risk, but the terms are more restrictive.
What is an open end lease?
An open-end lease is a type of rental agreement that obliges the lessee (the person making periodic lease payments) to make a balloon payment at the end of the lease agreement amounting to the difference between the residual and fair market value of the asset.
What is meant by closed end lease?
What is Closed-End Lease. A closed-end lease is a rental agreement that puts no obligation on the lessee (the person making periodic lease payments) to purchase the leased asset at the end of the agreement. Also called a “true lease,” “walkaway lease,” or “net lease.”
Is a walk away lease a closed end lease?
Also called a closed-end lease, a walk-away lease is usually a kind of car lease that allows the lessee to return the car at the end of a lease period.
Is an open end lease a capital lease?
The open-end lease is more often used by businesses and for commercial use. Open-end leases may also be called: Operating lease. Capital lease.
How do I choose between rental applicants?
A minimum acceptable credit score. A requirement to have never been evicted. A minimum acceptable monthly income amount (for example, you might require the tenant to make 3x more than the monthly rent amount) A required number of good references.
How do I choose between two tenants?
A minimum acceptable credit score. A requirement to have never been evicted. A minimum acceptable monthly income amount (for example, you might require the tenant to make 3x more than the monthly rent amount) A required number of good references.
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