Q: Who owns the property?
All properties listed are owned or financed by members of our group.
Q: What does Rent Include?
Included with your rent are the property taxes, property insurance (excluding content coverage) and HOA dues if applicable. Renters will be responsible for all utilities. Q: How does Lease-to-Own work?
Basics of a Lease Option
- Buyer pays the seller option money up front for the right to later purchase the property. This payment may be substantial.
- Buyer and seller may agree to a purchase price now or the buyer may agree to pay market value at the time the option is exercised. It is negotiable. However, most buyers want to lock in the future purchase price upon inception of the lease option.
- During the term of the lease option, the buyer agrees to lease the property from the seller for a predetermined rental amount.
- The term of the lease option agreement is negotiable, but the common length is generally from one year to three years.
- The option money generally does not apply toward the purchase price.
- A portion of the monthly rental payment typically applies toward the purchase price.
- Option money is rarely refundable.
- Nobody else can buy the property during the lease option period.
- The buyer generally cannot assign the lease option without seller approval.
- If the buyer does not exercise the lease option and purchase the property at the end of the lease option, the option expires.
- The buyer is not obligated to buy the property.
Basics of a Lease Purchase
- Buyer pays the seller option money up front for the right to later purchase the property. This option money may be substantial.
- Buyer and seller agree on a purchase price, often at or a bit higher than market value.
- During the term of the option, the buyer agrees to lease the property from the seller for a predetermined rental amount.
- The term of the lease purchase agreement is negotiable, but the common length is generally from one year to three years, at which time the buyer applies for bank financing and pays the seller in full.
- The option money generally does not apply toward the down payment.
- A portion of the monthly lease payment typically applies toward the purchase price.
- Option money is nonrefundable.
- Nobody else can buy the property unless the buyer defaults.
- The buyer typically cannot assign the lease purchase agreement without seller approval.
- Buyers are often responsible for maintaining the property and paying all expenses associated with its upkeep, including taxes and insurance.
- The buyer is obligated to buy the property.
Q: How does Contract For Deed Work?
Definition:
A land contract (sometimes known as a "contract for deed" or an "installment sale agreement") is a contract between the owner of a property and a person who wants to buy the property for an agreed-upon purchase price. Under a land contract, the seller retains the legal title to the property, while permitting the buyer to take possession of it for most purposes other than legal ownership. The sale price is typically paid in periodic installments. When the full purchase price has been paid, the seller is obligated to deliver legal title to the property to the buyer. This is a legally binding contract, and is recorded on the county title records of the property. It is common for the installment payments of the purchase price to be similar to mortgage payments in amount and effect. The amount is often determined according to a mortgage amortization schedule. In effect, each installment payment is partially payment of the purchase price and partially payment of interest on the unpaid purchase price. This is similar to mortgage payments which are part repayment of the principal amount of the mortgage loan and part interest. However, since land contracts can easily be written or modified by any seller or buyer; one may come across any variety of repayment plans. Typical land contracts are easy to understand and usually only make up 3-5 pages
The buyer may obtain a conventional mortgage loan from a bank to accelerate early payoff of the contract for deed. Land contracts are sometimes used by buyers who do not qualify for conventional mortgage loans offered by traditional lending institutional, for reasons of poor credit or an insufficient down payment.
Q: How do I get started?
Please complete our brief confidential bio.
Q: When and how will I own the property?
We will structure a custom plan based on your unique circumstances. We strive for win-win programs and long-term relationships. We will have underwriting approval within 24 hours. All ownership programs are decided in-house…we are the decision makers!
