RentToOwn-HouseFinder.com

Have you done the "Rent to Own" or "Lease to Own" housing thing?

If so, what was your experience. I am only interested in hearing from buyers/sellers who have actually done this, not just someones opinion on the program. I am pretty much aware of how the program works, and I understand that the deal could be potentially dangerous for the buyer, but I would like to hear from people who have been through the process before, no matter if the experience was good or bad. Thanks

Public Comments

1. I did a land contract to get my first home & I had no issues at all. It was a 2 1/2 year balloon & I paid it off in 1 1/2 years. Rent to owns & lease to owns are not good, in my opinion, because you don't have any ownership until you purchase the home. A land contract, you have ownership, if it is recorded & you can refi & pay it off!
2. My ex-business partner did the rent to own.... He put 10k down and was paying 700 a month... It was a 3 year contract.... Well when the time was up- his credit score wasn't good enough and he couldnt obtain financing.... and he lost the $ he put into the house (regular rent was 500/mth- 200 towards the house to own) and the landlord served him with an eviction notice because he found someone else who was able to have it financed. On the other hand... I also had a friend from HS who had *no* credit what-so-ever.... He was able to build up his credit in the time allotted and get a loan; but he had to put more $ down for the loan company- He is very happy with what he did
3. Yes we have provided Rent To Own homes to people before with no problem. Like any industry there are people who do the right thing and people who dont (look at Real Estate Agents!!). Its worth dealing with a reputable business that has been around for a while and who can provide referrals from happy clients. There is also responsibility from the buyers side to obtain legal/financial advice to ensure they are entering into an agreement that is to their benefit and that they can fulfil at the end. Long running businesses would only offer a Rent To Own home to someone that has a credit history that isn't going to impair them from obtaining finance at the end. However the Rent To Own seller cant help what the buyer does during the Rent To Own period either. If the buyer went in with a passable credit history then ruined it during his agreement period then that is to the buyers own detriment really. The best thing about Rent To Own is that people can lock in a house price today and only pay that price later rather than a higher market price down the track and they can do this with a very small deposit and not pay legals or stamp duty until down the road. Cheers Sheree http://www.renttoownyourhome.com.au