Is Renting-To-Own Right For Me?

Mar 3, 2016 | | 109 comments

Rent-to-Own homes are a way for people who don’t qualify for a mortgage, but want to buy a house.  This option allows a person to lease the house with the option to purchase at the end of that term. It’s not a common way to purchase a property, and the selection of rent-to-own properties is tiny compared to the selection of properties available purely for lease or sale. Still, some people manage the process successfully. Here are some things that make renting-to-own a potentially good idea. aec6cf74422237b8146782a3d554f94c

What does it mean to be close to qualifying for a mortgage? You might have a bad credit score that is below what most lenders look for. You might have a good job, or gotten one with a significantly better salary, but you haven’t been there long enough for a lender to consider it a stable source of income to repay your mortgage over the long run. Similarly, you might be successfully self-employed, but not have a long enough track record to make lenders comfortable.

If any of these describe your situation, renting to own might be a good idea. You can lock down a property you like now and possibly save yourself a move or two. Then you’ll have some time, typically in two to three years, to improve your credit score, lengthen your employment history, increase your savings or do anything else you need to make yourself a stronger mortgage applicant.

When you rent to own, you pay a lease option fee to secure your right to purchase the property, and its usually nonrefundable. So be wary of getting into this if there’s a more than 50/50 chance you’re going to move and not buy.

If you don’t ending up buying, you’ll also have wasted money on the nonrefundable rent credits. These are a portion of your monthly rent payment that the landlord/seller credits toward your down payment if you buy, but keeps as compensation for having taken the property off the market if you don’t. It isn’t likely that you’ll get a landlord/owner to agree to a refundable rent credit and refundable option fee to give you the flexibility to move.

Since it’s less common, the rent-to-own process isn’t as tightly regulated as the home-buying industry or even the rental industry. This lack of regulation can be a good thing, in that it gives would-be buyers and property owners more freedom in negotiating the purchase option part of their contract. On the other hand, the lack of industry standards might make it easier for unscrupulous owners to take advantage of unsophisticated buyers. In addition, there isn’t nearly as much educational material available on renting to own as there is on buying a house outright.

In other words, there’s little that’s “standard” in these contracts, making it especially important that you know exactly what you’re agreeing to. If you can’t understand both the legal and financial aspects of a rent-to-own contract, you shouldn’t sign one.


Renting to own a home isn’t for everyone. There are many things that can prevent you from buying the home at the end of the lease term, from a change in your life circumstances to a continued inability to qualify for a mortgage – and there are penalties, in the form of nonrefundable fees and costs, for not carrying through with the purchase. Though for some, it can allow them to buy their dream home without going into debt.

Check out this video detailing The Good & Bad of Rent-to-Own, and NOLO’s article on Rent-to-Own Real Estate Full of Pitfalls.

Posted in: Uncategorized

109 Responses

  1. The sooner you find it the sooner you can fix it and
    then you can relax. There are different kinds
    of golf car manuals – one for owners, one for parts and another for repairs.
    Let’s say you have a Honda Acura 2002 model and you
    want to find a manual for that make and

  2. One of their ultimate appearances is that they provide numerous techniques to get in touch
    with clairvoyant advisors: telephone, e-mail or even live clairvoyant chat readings.

  3. It’s remarkable to pay a visit this web site and reading the views of all friends about this paragraph, while I am also
    eager of getting familiarity.

  4. Others concern that they have a brain lump otherwise
    that they have a quantity of grow of mental illness.
    Some of these can be a contributing factor in the onset of tinnitus symptoms.
    The Tinnitus Miracle is accessible in PDF format and can be downloaded
    on both pc and on your Mac.

  5. Some blessed people have the ability to anticipate the potential
    only by concentrating on something, but also for many of us,
    some type of divination method is indispensable for
    aiding to translate our mystic instincts.

  6. A chicken tractor, on the other hand, is a transportable hen house.
    If you cannot find a coop plan that fits your chickens needs exactly then try to get one a bit larger – chickens will need their space to comfortably produce their
    eggs and live healthily. It’s better to have a chicken coop that’s too big than a coop that’s too small.

  7. Many parents feel the pull of buying their children what the kids think they want, usually
    stuff that looks cool on commercials set to hip
    music and other kids having fun.

  8. You do not have to pay for a professional plumber tto unclog your lavatory sink – in a
    mater of hours it is possible for you to to do the job your self and save a whole bunch
    of dollars!

  9. For me, the best component of CSW is their actual budget-friendly open store time to pursue your own task at your speed
    in a tidy, arranged, well geared up workshop, and also getting the expert guidance from a friendly staff of instructors when you need it!

  10. Admiring tthe dedication you put into yourr blog and in depth information you present.
    It’s awesome to come across a blog every once in a while tuat
    isn’t the same unwanted rehashed material. Wonderful read!

    I’ve bookmarked yiur site and I’m including your
    RSS feees to my Google account.

  11. I’m amazed, I hawve to admit. Rarely do I comke across a blog that’s both educative and entertaining,
    and without a doubt, you hae hit the nail on the head.
    The problem is something that too few men and women are speaking intelligently about.
    I am very hppy tnat I stumbled across this
    during mmy search for something relating to

  12. I mean you are able to take the children trick-o-treating (if
    you’re in to that), you are able to get into the full
    mood associated with Halloween arrangements and digging out pumpkins.
    De Lacey in hopes that his kindness will serve as a bridge to the
    rest of the family. 60) He is confined to his bed for months with only Henry
    by his side to help him recover.

  13. hey everyone
    I’ve had same issue before and its very frustrating
    having to just deal with it.
    I found a great technique which works to get rid of acne. Read the reviews left on here
    too to see if it’s for you.
    My nephews also use this now and same results with them…it works.
    thanks for the article

  14. whoah this blog is excellent i love studying your posts.
    Keep up the good work! You know, lots of individuals are looking around for this information, you can help them greatly.

  15. Nevertheless, there were certain problems in its layout that would result in its
    eventual structural failure, and a simple nineteen months later, the high center
    part collapsed, making it Britain’s worst link calamity.

  16. 仮に運送業などの面接のときに、せっかくの簿記1級の資格について伝えてもほとんど評価されないのだが、逆に事務の求人のときだったら、即戦力の持ち主として期待されることになる。



  17. What ever before the tools i will certainly advise you whats excellent as well as whats rubbish as part of
    the locksmith professional training with Locksmith Training Merseyside.

  18. At locksmiths Manchester we are very affordable in price, and also
    putting your mind secure, safeguarding your belongings and seeing to it your family
    is risk-free as could be, does not have to cost a ton of money, and
    also obviously budget is always something which we at locksmith professionals Manchester eager in mind when offering our

  19. If there are any type of unanticipated issues (and
    also this is generally uncommon) we will describe fully
    what should be dome and also exactly what this would certainly set you back and just
    proceed with the work if you are totally satisfied and recognize why such
    job may have to be done.

  20. The earliest license for a double-acting pin tumbler lock was granted to American medical professional Abraham Stansbury in England in 1805,
    10 yet the modern version, still in operation today,
    was invented by American Linus Yale, Sr. in 1848.

  21. Includes transcranial magnetic stimulation (TMS) to
    reduce tinnitus loudness over time. It’s not just the tinnitus that
    destroys lives, but the signs and symptoms that include it.
    Tinnitus maskers do not treat the condition except to drown out the ringing so that that a sufferer can function without being consumed by the noise.

  22. Wonderful beat ! I would like to apprentice while you amend your website, how can i subscribe for a blog
    site? The account aided me a acceptable deal. I had been tiny bit acquainted of this your broadcast provided bright
    clear idea

  23. Also, try to have the floor slightly sloping
    towards the door area of the coop as this
    to will aid you when it comes to cleaning. This way, when you spray out the chicken coop, the water
    will flow out, hence solving your puddling problem.
    Studying how you can build the best hen residence windows is only 1
    point your chicken coop ideas will instruct you.

  24. One thing they said about the aunt though was that she hated windy weather, which is could be why she was a crossfit pro.
    Insane when you think about it.

  25. つまるところ就職活動中に、詳しく知りたいのは、応募先全体の方針あるいは自分の興味に合うかなどが多く仕事の内容などよりは、応募する企業自体をうかがえる実情である。



  26. What i don’t realize is if truth be told how you are no longer actually much more well-preferred
    than you may be right now. You’re so intelligent. You understand therefore considerably relating to this topic, made me individually consider it from so many numerous angles.
    Its like women and men are not fascinated until it is something to accomplish with Woman gaga!
    Your own stuffs excellent. All the time
    deal with it up!

  27. It’s actually very complicated in this active life to listen news on Television,
    thus I just use internet for that reason, and take the latest information.

  28. Other sewage-disposal tank chemicals as well as septic system products are costly as well as harmful to your system while Activator 1000 is the
    only septic therapy products 100 % SAFE to People, Pets, Septic Units, Septic Drain areas, Plumbing as well as
    the Environment It is a much stronger compared to any sewage-disposal
    tank treatment After executing numerous examinations on Activator
    1000, an independent study group confirmed that Activator1000 is
    the most efficient maintenance item that you can make use of.

  29. Hi everyone, it’s my first go to see at this web site,
    and post is actually fruitful in favor of me, keep up posting these types of articles or reviews.

  30. If possible take pictures of where the accident happened
    shortly after the injury has occurred as these may be helpful in future
    documentation and will provide evidence for the case.

  31. Hey I am so happy I found your weblog, I really found you by error, while I was browsing on Aol for something else, Anyways I am here now
    and would just like to say kudos for a marvelous post
    and a all round thrilling blog (I also love the
    theme/design), I don’t have time to read it all at
    the minute but I have saved it and also added your RSS feeds, so
    when I have time I will be back to read a lot more, Please do keep up
    the excellent b.

  32. Others concern that they have a brain lump otherwise that they have a quantity
    of grow of mental illness. You can’t cure tinnitus before you know what has started it.
    The Tinnitus Miracle is accessible in PDF format and can be downloaded on both pc and on your Mac.

  33. Great weblog here! Additionally your site rather a lot
    up very fast! What host are you the use of? Can I get your affiliate hyperlink to your host?
    I want my web site loaded up as quickly as yours lol

  34. 一般的には銀行系や信販系のカードローンは消費者金融に比べると金利が低いものです。その代わりに審査の条件が厳しい場合もありますが、低金利で人気のある会社をいくつかご紹介します。

  35. One of the many ways that you can go about achieving a fat weight loss or
    rapid weight loss is by reducing the foods that you eat.
    What happens to the stomach in the morning
    if you give it coffee. However, studies
    have shown that the patch is a special oil that looks like a thinking, it’s your
    fat, which fools users.

  36. Others concern that they have a brain lump otherwise that they have
    a quantity of grow of mental illness. It’s not just the tinnitus that destroys lives, but the signs and symptoms
    that include it. The Tinnitus Miracle is accessible in PDF format and can be downloaded on both pc and on your Mac.

  37. Email marketing is likely one of the most powerful methods of on-line advertising.
    If individuals trust you adequate to allow you to into their inbox
    repeatedly, you might have a captive viewers that’s keen to listen to
    (and curious about) what you muyst say.

  38. Hi there everyone, it’s my first pay a quick
    visit at this site, and paragraph is really fruitful designed for me, keep up posting such articles
    or reviews.

  39. 総じて言えば、いわゆる求人紹介所の推薦で就職決定するのと、いわゆる海外転職エージェントで就職する場合と、2か所を並走していくのが名案ではないかと感じるのです。



  40. Take a position when your feet are wider than hip width, then grab
    the bar with a shoulder size hold. What makes Cellulaze so different is that it is the first product to every address
    the conditions under the skin that cause the problem.
    A lot of people think that they are treating their cellulite problem, but they
    are actually making matters worse.

  41. What’s Happening i’m new to this, I stumbled upon this I have found It absolutely helpful and it has
    helped me out loads. I am hoping to contribute & assist different customers like
    its helped me. Great job.

  42. Wonderful beat ! I would like to apprentice
    whilst you amend your web site, how could i subscribe for a blog site?
    The account helped me a applicable deal. I had been tiny bit familiar of
    this your broadcast provided brilliant transparent concept

  43. First off I would like to say superb blog! I had a quick question in which
    I’d like to ask if you don’t mind. I was interested to find out how you
    center yourself and clear your head prior to writing.

    I’ve had a hard time clearing my mind in getting my thoughts out there.
    I truly do enjoy writing but it just seems like the first 10 to 15 minutes are usually lost simply just trying
    to figure out how to begin. Any suggestions or tips?
    Thank you!

  44. You really make it seem so easy with your presentation but I find this matter to
    be really something which I think I would never understand.
    It seems too complicated and very broad for me.

    I am looking forward for your next post, I will try to get the hang of it!

  45. Most current SEnuke TNG Bonus Bonus updates additionally reveal that every one
    on-line search engine have been offered an appearance of the novices’ guide and likewise thus,
    websites at the moment have to cope with their growing social
    sharing web visitors.

  46. Thanks a lot for sharing this with all folks you really know what you’re
    speaking about! Bookmarked. Please additionally seek advice from my website =).
    We could have a hyperlink exchange arrangement between us

  47. Hi there! I could have sworn I’ve been to this blog before but after checking through some of the
    post I realized it’s new to me. Anyhow, I’m definitely delighted
    I found it and I’ll be bookmarking and checking back frequently!

  48. For latest information you have to visit web and on internet I found this site as a most
    excellent web page for most up-to-date updates.

  49. Simply desire to say our article is as amazing.
    The cleearness in yohr submit iis simply great and that i could think you’re a professional on this subject.
    Well along with your permission allow me to grab your RSS feed to stay up
    too date with imminent post. Thanks one million and please continue the gratifying work.

  50. Definitely imagine that that you stated. Your favourite justification seemed to be
    at the internet the simplest thing to take into account of.

    I say to you, I definitely get irked while people consider worries that they plainly don’t realize about.
    You managed to hit the nail upon the top and also outlined out the whole thing with no need side effect , folks could take a
    signal. Will likely be back to get more. Thanks

  51. I don’t know whether it’s just me or if everyone else encountering problems
    with your blog. It looks like some of the text
    in your content are running off the screen.
    Can someone else please comment and let me know if this is happening to them too?
    This may be a issue with my web browser because I’ve had this
    happen before. Many thanks

  52. This is the perfect website for anyone who wishes to find out about this topic.

    You understand so much its almost hard to argue with you (not that I really would want to…HaHa).
    You certainly put a new spin on a subject which has been discussed
    for many years. Wonderful stuff, just wonderful!

Leave a Reply

Your email address will not be published.