As we have hit hard times in the market, the time has come for homeowners that are looking to sell their property to think creatively. If their home is just sitting on the market, they should begin considering Rent to Own. A Rent to Own would immediately free them from their payments by having a qualified tenant buyer in the home that makes monthly payments, does repairs, and takes good care of their home as if it were their own, as at some point in the near future, it just may well be if they decide to exercise an option to purchase the home at a predetermined price and during a predetermined period of time.
Additionally, as homes for sale by owner (FSBO) are everywhere you look, few sellers realize the benefits of rent to own or lease purchase (perfect for FSBO sellers with a home that needs repairs, a home with zero, little or negative equity, or a house in a buyer's market). If your home is available as a rent to own home, it will increase the demand, as there is no database that has all the rent to own homes listed. Nine times out of ten lease option homes will not be listed on the MLS.
Overall, the best thing to keep in mind is that the more options that you offer a prospective buyer, the better off you will be. If they begin as a tenant, and in 12-24 months, they become a buyer, all the while covering your mortgage and caring for your home, is that such a bad thing in today's market? These are questions that you need to ask yourself if you want to move your home.
If you are going to venture into this with a real estate agent, tell them exactly what you want, and have them work for you. Have them list your home as a Sale or Lease Option (same as rent to own), and let them show you the paperwork and go over it in more detail with you. If you decide to venture it alone, discuss it with your attorney so they provide you with the proper paperwork needed to do this in your state.
Please take a solid look at Rent to Own and begin breathing easier!
