BajaNomad

Leased Property with Improvement

awfulart - 3-4-2006 at 05:10 PM

How does one protect their investment in a home on leased land? If property values increase can he raise the lease renewal amount per month enough to make it unaffordable in order to sell or develop. What happens to the improvements. I have been told he is required to pay for the improvements upon non renewall of a lease. If so, would he be required to pay market value of the home or only what you paid for it.?

Bob and Susan - 3-4-2006 at 05:13 PM

lease is negotiated...9.9 years

improvments are yours to do...

they become the land owners property when you leave...you lose

Bruce R Leech - 3-4-2006 at 08:29 PM

awfulart

they Can do almost anything they want. even if you have a good legal Lease which most don't.

Roberto - 3-10-2006 at 05:02 PM

Anything you build on leased land doesn't belong to you unless you can drive it away.

It is customary for a "good" landlord to pay for the improvements when the lease is up, but it is not mandatory, and is all negotiated on a case-by-case basis.

This is where the old adage "don't spend more than you can afford to walk away from" comes from, and the reason a lot of people use trailers as a base on leased property - worse case, you drive it away.