Benefits of rent to own home
Suggested: Advantages of Renting to Own; Rent to own: Benefits for everyone
There are many benefits in rent to own home options, the first time real estate investors receive a lot of benefits from this option. If you are someone who has a bad credit history and thereby do not meet the requirements for a home loan, you can always opt for the rent to own home option so that you do not have to go through a credit check.
Most of the buyers are now opting for the lease to own homes as their preferred mode of purchasing properties. In this method of leasing to own properties prospective buyers can rent homes and check out the real estate before making the final decision about closing the deal.
The buyers planning to buy their first home in this process do not have to worry about the large down payments, as in this case they have to make a smaller down payment and thereby enjoy more benefits.
Advantage of the buyers: the buyers nowadays prefer to go for the rent to own homes because of certain added advantages provided by this kind of a transaction. Firstly, this type of a transaction helps the buyer get a good first hand experience regarding the house, because you know the price of the house only when you start living in it. Small problems that are not visible from the outside, become more imminent when prospective buyers start residing in the house, the problems might include leaking pipelines, paint falling off etc.
Secondly, for the first time real estate investor, it is always a good idea not to invest in a property with cash through an outright sale, rather it will be a good idea to lease it first and then buy it.
Thirdly, people who have bad credit can buy their dream homes by this method as they can fix their credits during the lease period and build up equity. Besides, getting a rent to own home is almost the same as leasing to own a car where the buyer leases the car to find out more about the car and whether it meets his requirements or not, and finally he buys the car if it fits the standards.
Benefits of the sellers: For the sellers the rent to own home facility brings in more customers than the outright sales. There are lots of homeowners who have listed their properties but there is a considerable lack of prospective buyers in the cash buying market, most of the investors nowadays prefer to buy houses through there rent to own homes.
Most of the sellers can benefit from the fact that most of the time, the deal does not go through and they might end up with the whole rent amount to their pleasure as the rent credit is considered non refundable. Besides this lease to own home feature lets the sellers to derive the benefits of the houses a bit more before actually selling it off to someone else.
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