A
lease-purchase is a combination real estate rental, and sales purchase
technique. It is a property lease for a fixed time period, such as 12 or 36
months. At the end of the lease period, the purchase agreement portion of the
contract is executed.
A
lease purchase / rent to own transaction allows you to live in the home you
desire while you establish & repair your credit or establish your work
history. By buying a home on lease purchase / rent to own terms you also have
time to create a good payment history, which both aid you in acquiring a new
mortgage.
A
lease purchase / rent to own transaction gives you, the buyer the exclusive
option to lock in the purchase price of today, and then complete the purchase at
anytime during the 12-36 month option period.
As the buyer in a lease purchase
/ rent to own home, you are not obligated to complete the purchase
of a home. However the seller is, in fact legally required, during the option period to
sell to you, and no one else. If you have bruised or even bad credit a
lease purchase / rent to own home is the best solution
to homeowners hip.
We provide Tools and Education!
New
Visions Realty provides the tenant buyer with the tools and education.. We
provide education how a lease purchase works and everything
they need to do to become educated to buy or lease your home.
How Does a Lease Purchase Work ?
Lease
purchase / rent to own transactions usually are not credit driven, but do
require employment and income verification: to make sure that the buyer can
afford the monthly lease payments.
How
is purchase price established? If the lease and purchase term is set up for
1 year then the purchase price is negotiated prior to signing the agreements. If
the lease and purchase terms it set up for more then 1 year then the purchase
price is set at market value. Next, the option fee is paid in order to secure
the future purchase price as well as a future closing
date.
What
is market value? The market value is established by having the property
reappraised and whatever the appraisal price comes back with is the purchase
price.
How
much down payment is required on the purchase agreement? When you sign lease and the purchase
agreement most require a
down payment of 3 % of the total purchase price depending on the details of
the purchase. For example if the agreed purchase price is $100,000.00 then the
down payment is $3,000.00.
Buying a lease option home through a rent to own lease is one way to save for a
down payment while you get to enjoy living in the house for lease option purchase. But be
sure to fully understand this type of agreement as you must be willing
to see the option all the way through and make your payments on time or you
could risk losing the right to purchase the home and any additional option amounts you
paid. Give New Visions Realty LLC a
Click on the following cities to see what
homes for sale might accept a Lease Purchase Option sale.
Gig
Harbor Port
Orchard
Bremerton
Belfair
Silverdale
Poulsbo
Kingston
Bainbridge Island
If you fill out the following
form homes listings would be email to when home are listed that matches your
criteria.
