Francesca Volpe - RE/MAX Alliance



Posted by Francesca Volpe on 8/14/2017

Condominiums and houses offer rent-to-own options. Renting your way into home ownership can take the fear out of owning a home. It gives you the chance to transition from relying on a maintenance professional to make all the repairs on your home to you starting to take on more of that responsibility. Work with a realtor to locate competitively priced rent to own properties in neighborhoods you love. Rent to Own Options You can also research rent to own properties online. Foreclosure houses can yield auction like savings. Walk through foreclosure and short sell properties. Although these homes can net you significant savings, they could also come with repair headaches. After you land on the home that you want to rent to own, negotiate a good price. Depending on the laws in the city where you live and on the particular rent to own agreement that you sign, you could have one to five years to rent the property before you enter an agreement as a buyer. Use this time to save a down payment on the home or another property. You could also use the time to strengthen your credit scores. Unlike traditional home buying agreements, you may have to pay an option price before you move into the house. If you want to rent and leave the option to buy open so that itís not a requirement that you buy the house at the end of the rental agreement, state this in the lease agreement. Other agreements may have rent with the requirement to buy legal verbiage in them. Read through your contract thoroughly. Working with a realtor to find a rent to own property? Ask your realtor to review the agreement before you sign it. Accepting Maintenance Responsibilities If youíre renting so that you can improve your credit and you donít plan to buy the house that youíre renting, consider adding in a clause that makes you responsible for maintenance but that leaves you open to walk away from buying the property at the end of the lease. Youíll gain firsthand experience as to what itís like to perform or pay for all repairs needed at a home. Considering that maintenance is a leading reason why people put off buying a house, this option might be perfect for you. Other reasons to opt to take on maintenance while leaving the requirement to buy out of your lease agreement include if you serve on active duty in the military, work a civilian job that requires you to travel frequently or if you are planning on relocating to another area in a few years. If you do sign an agreement that requires you to own the house at the end of the lease and you donít obtain financing or decide not to buy the property, youíll be out of the option money that you paid. So, give rent to own homes as much thought as you would if you were, in fact, buying the house.




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