STOP PAYING. START WINNING.

Free Lease Option Calculator

Structure lease options that protect you and attract serious tenant-buyers. Freddie calculates option premiums, rent credits, and total profit instantly.

Everything in the Free Lease Option Calculator

Option Premium Calculator
Calculate the upfront option consideration that protects you and filters serious buyers.
Rent Credit Analyzer
Structure monthly rent credits that incentivize your tenant-buyer to close.
Purchase Price Modeling
Set a future purchase price that accounts for appreciation and your profit target.
Cash Flow Calculator
See monthly cash flow during the lease period above your underlying mortgage.
Total Return Analysis
Combine option premium, monthly spread, and backend profit for complete picture.
Score Certificate
Get a deal score on any lease option structure in seconds.

Real Deal. Real Numbers. Analyzed Free.

Dan White, 20-year fix-and-flip veteran in Northern Virginia, used FreeDealCalc to analyze a $130,000 wholetail opportunity in under 5 minutes. No spreadsheet. No paid software. Just Freddie.

Purchase
$210,000
Cleanout
$5,000
Resale
$349,000
Hold Time
1 Month
Strategy
Wholetail
Net Profit
$115,050
Before renovationAfter renovation
100
Deal Score
Strong Deal

"I've been flipping houses for 20 years and I built this tool because nothing free was actually good enough. Freddie does what I used to do with spreadsheets — but in seconds, for free, for every investor who needs it."

— Dan White, Founder, FreeDealCalc | 20-Year Fix & Flip Investor, Northern Virginia

A buyer who purchases this property as a wholetail deal undertakes all renovation work at their own direction, cost, and risk. The seller makes no representations regarding property condition and all sales are as-is. Buyer is responsible for all due diligence, inspections, and compliance with local codes and regulations.

Frequently Asked Questions

What is a lease option in real estate?

A lease option (also called rent-to-own) gives a tenant the right but not the obligation to purchase the property at a predetermined price within a set time period. The tenant pays an upfront option premium and monthly rent, with a portion of rent credited toward purchase.

How do you calculate lease option profit?

Lease option profit combines three streams: upfront option premium (kept if tenant doesn't buy), monthly spread between rent collected and your mortgage payment, and backend profit if the tenant exercises the option (difference between option price and your cost basis).

What is a fair option premium for lease option?

Standard option premiums range from 1-5% of the purchase price. On a $250K home that's $2,500 to $12,500. Higher premiums filter serious buyers but reduce your pool of candidates. The premium is typically non-refundable and applied to purchase price.

What percentage of rent should be credited in a lease option?

Typical rent credits range from 10-25% of monthly rent. On $1,500/month rent, that's $150-$375 credited monthly toward purchase. Credits incentivize the tenant-buyer to exercise the option but reduce your monthly cash flow spread.

What are the risks of lease options for investors?

Main risks include tenant-buyer damaging the property, not maintaining it properly, or defaulting on rent. Also risk of property value declining below the locked option price. Require a substantial option premium, thorough tenant screening, and clear maintenance responsibilities in the contract.

Is a lease option better than a traditional rental?

Lease options typically generate higher monthly income, larger upfront premium, and attract more responsible tenants who have skin in the game. The downside is complexity, potential for legal disputes, and losing a good long-term tenant if they buy and move.

More Free Tools

→ Rental Cash Flow Calculator→ Subject-To Calculator

Ready to Analyze Your Deal?

Free forever. No credit card. No spreadsheet. Just Freddie.