Learning Rent To Own Home Program
People Question #44
Buying a house is one of the biggest commitments most of us will ever make. And that commitment is usually more than a financial one. Often, we invest a lot of our hopes and dreams as well.
When we make the decision to purchase a property we are binding our lives to those bricks and mortar.
So, how do you know that you’re making the correct decision to buy?
And, what happens when you don’t have the money to outright buy your dream house?
What if you have a bad credit score or you simply need time to get your finances in order?
For many people who dream of ownership but who aren’t quite ready to take the ultimate plunge, a Rent To Own Home Program is the ideal solution.
A Rent To Own Home Program offers you the house you want, and it gives you the time you need to get all of your ducks in a row.
If you’re curious to know more, this article is for you.
Read this and share it with someone you know who will benefit from our Rent To Own Program.
If you refer someone to Home Buyers Inventory and they move into one of our Rent to Own Homes, you get a referral fee.
RENTING BEFORE OWNING –
1.) A TRADITIONAL HOME PURCHASE
– A traditional home purchase works something like these seven steps:
> You get mortgage approval
> You find your dream home
> You make an offer on that house
> The offer is accepted
> You put a down payment on the purchase price of the property
> The lender finances the rest
> You pay regular installments over a period of years until the balance (including interest) is paid in full
2. ) A RENT BEFORE OWNING OPTION
-For many people, qualifying for a traditional home purchase is not as straightforward as it could be. In these cases, there is an impressive alternative: a Rent Before Owning Agreement.
This agreement works like this:
*AGREED RENT AMOUNT
You pay an agreed amount of rent for a set period.
*OPTION TO PURCHASE
You have the option to purchase the property either before or when that lease expires.
*OPTION CONSIDERATION
You have the right but usually not the obligation to buy the house, you pay a one-time, non-refundable fee.
This is called an ‘option consideration.’
Typically it comes in between 5 and 7% of the purchase price of the property.
*PURCHASE PRICE
Your agreement will specify the purchase price. This price is determined in advance. Often, the option consideration can be applied to the purchase price
*MAINTENANCE OF THE PROPERTY
Your contract will specify who you are responsible for routine maintenance and repairs.
In all of this, rent before owning allows you to get your foothold in the market, without having a mortgage in place at the time.
Let’s take a look at some of the other benefits.
3.) A PLACE TO CALL HOME
– For many of us, moving into a home is one of the most exciting times in our lives. And, once we have our packing and hauling sorted out, the process becomes a breeze.
With many traditional renting scenarios, however, people can often end up moving numerous times.
If you have a family, constantly uprooting your brood can be anything but fun.
When you have found the house you want, and you’re committed to a particular neighborhood, here in Home Buyers Inventory, our Rent To Own Home Program helps you to stay in that neighborhood.
You put down your roots, and you have a place to call home.
4.) YOU’RE BUILDING EQUITY
– Many people who don’t qualify for a home loan find themselves in the unenviable position of renting a property they don’t even like.
And, worse than that, that rental property is taking up a mammoth portion of their paycheck.
Beyond this situation, many renters often find themselves in a tricky spot.
Sure, they want to save for a home, but the cost of the rent can make things very, very difficult.
When you opt for our Rent To Own Home Program, you know you can become the owner of the home.
If you’ve tried to live in a place you don’t like, don’t have a good value in a home for what you are paying for rent and you have to constantly spend money to keep moving, not to mention the stress on your family, save and rent before, you’ll fully appreciate what a win-win situation having the opportunity to Rent to Own a Home is.
And, if you have issues with your credit score, a Rent To Own Home Program affords you the opportunity to rebuild that credit score over time.
5.) PURCHASE PRICE CERTAINTY
– In today’s volatile housing market, having an agreed-upon purchase price ahead of time can provide you with some much-needed certainty and peace of mind.
When you sign a Rent To Own Home Program agreement, you and the seller will agree on the home price.
Options here include today’s market value, a set purchase price, etc.
Because you are also building up your financial means, this certainly can make a monumental difference to your financial planning.
RENT TO OWN HOME PROGRAM — IS IT RIGHT FOR YOU?
So, there you have it.
Consider yourself well versed on the concept of our Rent To Own Home Program.
It allows you to live in the house while working towards buying it.
It provides you with a sense of security while speaking to your need for certainty.
And, it might just be the perfect option for you
.
If you have more questions on how this program works. We at Home Buyers Inventory are happy to help answer your questions.
Always remember, our hashtag #MoveInWithHBI.
We will be with you all throughout the process, from paperwork up to you becoming the owner of your dream home.
GET FREE WINTER HEATING CHECKLIST
