All About Rent to Own Contracts

If you have gotten bored of living in a rented apartment, and want to have your own place, then buying one is the best option. The situation then can become really critical, and you may lose your affordability. What to do then?

The simple solution to that is opting for rent to own contracts. These are also known as rental purchases and are legally documented transactions. This type of transaction started in USA during 1950s and 1960s, and then onward has helped loads of people.

Initially it was meant for various consumer goods but then prospects like real estate also came under the preview.

A question by now is forming in your mind, why rent to own. To answer that, one has to think about the various situations in life. Under some of the situations, one may not have enough money but won’t like to waste it by renting a house, or the way of paying may seem better and convenient to people.

For such requirements rent to own contracts can be really helpful. Under this procedure, you have to pay extra rent for your home per month and at least 5% of the purchase amount as up-front fee.

Among the total amount, the actual rent is taken by the previous owner and the extra rent helps you to buy the place gradually.

No comments:

Post a Comment