 Rent to own sellers
Sellers are having trouble selling their homes in this market and are looking towars an alternative. Rent to own or lease purchase is a viable approach. But keep some things in mind: - Leasing puts more wear and tear on your home. If it is in great condition now what happens if the tenant doesn't purchase the home and now you have to fix it and repaint it. When we work with sellers we do home visits with the potential buyer to see how they keep up their current home. We also do other background checks with their employers, and credit to see what kind of person you are letting live in your home. - How to structure the deal. When appropriate try to make the tenant look more like an owner of the home. This means they are responsible for all repairs and issues, upkeep, landscaping, all utilities, property taxes and insurance payments. If they can't afford those items now will they be able to afford them later? If not then you are just renting the home and won't have a real buyer at the end. Some buyers may not be able to afford all of these expenses due to timing issues. - When possible try to use the lease option approach. This way the buyer is making additional payemnts to you over time. The more money they have into the deal the better. - How much of the lease goes to the buyes downpayent? If you are only charging market rent then does it make sense to give that money back to the buyer? It does if you are benefiting by not discounting the price and not having to pay a listing agent. Buyers are less able to negotiate the price down so you have some built in cushion to create incentives for the buyer in the higher price and lack of listing commissions. At Revealty we can help you structure the best deal possible and you don't have to pay a listing commission for our services. We can help you marke the property and or structure the terms of the deal, do credit checks, home visits and property management if needed. Our contact information is at the bottom of the page if you would like to explore this option for your situation.
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