Things you need to know before signing a Rent to Own contract

Rent to own home is a contract that allows buyers to lease/rent a home with an option to buy it during the lease/rental period. It is some what complecated than normal lease/rent contract. So if you planning to buy your dream home thtough rent to own contract, first know some important things before signing a rent to own contract.

The property price can be locked at the beginning, so try to inspect property well and get appraisal before you sign a lease contract.

Know what happens if you don’t execute your option to buy the home at the end of the lease period and also make sure check whether it mentioned in the agreement or not.

If you are not more aware of this type of contract, hire a professional real estate expert. Agents are more need for buyers than sellers to make the process easy and protect interests.

Make sure taxes and insurance responsibilities related to the property are clearly described. Find the mortgages on a lease wisely.

Buyer/Renter have to pay non refundable option fee at the beginner. Option fee won't be refundable if the buyer fails to execute the option to buy the property during or at end of the lease period.

You need to pay more money each month than simple renting. The rented payment will either contribute to the down payment of the purchase.