With the volatility in the United States real estate market, it should come as no surprise that many prospective homeowners are looking for other options to the traditional bank funded mortgage.
One popular alternative is the rent to own option. It has become increasingly popular, especially in the last five years, for those seeking to own their own townhouse.
It provides more flexibility for both the seller and buyer to come to mutually agreeable terms and it provides options in the event either party finds disagreement.
Though it can be difficult to find a rent to own town house, there are some tips available that can make your search more palatable. We have compiled a list of tips for your reference as you begin your search.
Understand the Agreement – It is vitally important that you fully understand the legal agreement before signing a rent to own townhouse contract. If you are confused, hire a real estate lawyer to take a look at it for you.
Be Specific – Look at the fine details, such as the option price of the townhouse, the monthly lease amount, and the rent credit amount.
Negotiate – Don’t be afraid to push for a longer lease period. Time is your friend and will give you the much needed leeway to align your credit for final purchase of the property.
Scour the Web – Use websites in additional to traditional newspaper listings to find a property that suits you.
Be Patient – There are new listings practically every week, so do not feel you need to take the first good deal that comes available. The listing should be advantageous in terms of the financial requirements and the property should be everything you want it to be.
Ask Friends – Use your friends as a source of information. Ask them to help you search, but also ask them to go with you when you look at a property. The more eyes and ears you have, the better end deal you will wind up getting.
Be Honest – Remember that a rent to own townhouse is a long term investment, otherwise you may wind up forfeiting a great deal of money. Ask yourself what you can afford and when it is most likely you will have the resources and credit available to make the final purchase.
These are just a few tips to help you make an informed decision and help you along on your search for a new, rent to own townhouse. Good luck!