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Fast
Equity Growth: Equity accumulates much faster (five times
or more!) than with conventional financing through a bank or lender.
Rent
Credit: Every month a portion of your rent payment
(typically $100-$500, depending on the home) is credited towards your
down payment or off of the sales price.
Down
Payment: When you sign a rent to own contract, you will
pay the company an option deposit (down payment). This money is your
vested interest in the home and will be fully (100%) credited to you
when you buy the home.
Lower
Down Payment: When you purchase a home conventionally, you
must pay at least 5% down plus closing costs. When you buy with a rent
to own agreement, you only pay first month's rent and a small option
deposit. This will save you between 25% and 85% every time you buy a
home.
When
you buy: Since you have given the company an option
deposit and you have been receiving monthly rent credits, there will
frequently be very little or nothing left to pay for a down payment at
closing.
Profits
from Appreciation: Since the sales price is locked in
before closing (as specified in your agreement), any increase in
property value will mean that your equity (what you owe minus what it's
worth) is increasing in the home .
Lenient
Qualifications: You will be approved at the sole
discretion of the company, not the bank.
No
Taxes: Since you do not own the home (yet), you will not
have to pay property taxes and your liability exposure will be
dramatically reduced.
Quick
Process: You can typically take possession of the home in
less time instead of conventional move in times of one to three months
after your offer was accepted.
Trial
Period: Before you actually buy the home, you will have
1-5 years (depending on your agreement) to repair your credit, find the
best interest rates, investigate the home and research the
neighbourhood and/or schools.
Minimal
Maintenance: Large maintenance problems or any maintenance
problems that exceed a certain amount of money are delegated to the
company.
Strict
Privacy: Your name will not be on the deed until you
exercise your option to buy.
Flexibility:
You will have full control of the home and can maintain it or improve
it however you wish per the agreement.
Elimination
of Fees: No realtor commissions, No closing costs
& a quick closing at the end of your lease term.
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