The tightening mortgage guidelines have left many potential homebuyer's unable to get a home loan. As a result, lease to own homes are becoming more and more well loved. Lease to own home (or rent to own homes as it is often called) have numerous benefits to the tenant buyer. Let's look at a few!

No Credit Qualifying
One of the largest reasons that people choose to get a lease to own home, is because they have credit issues that prevent them from securing conventional financing. Most lease to own approvals are based strictly on your ability to pay. This makes them very attractive to people who have terrible credit but stable returns.

Potential to Profit from Appreciation
Because the buy price is set up front in a lease to own contract, you know going in what you will be expected to pay for the home. If the home does appreciate during your rental period, you will still only be vital to pay the pre-agreed on price. This means that the appreciation goes to you, not the current home owner.

Decreased Down Payment
The changes in the mortgage industry have augmented the about of cash that you have to come up with to secure a loan. In fact, FHA just announced that it will be requiring 10% down from any person with a 580 credit score or less. With a lease to own home, you can get in for much less. The option fee you will be expected to pay will likely be somewhere between 2% and 5% of the buy price of the home.

Quick Go in Date
If you have ever been through the mortgage process, you know that it can take time and generally language involved a fantastic deal of hassle. When you get a lease to own home, the process is much more simple. In fact, if you take place to find a lease to own home that is vacant, you can go in as small as 24 hours.

No Taxes or Payments Over and Above Your Monthly Payment
When you get a lease to own home, you know your responsibilities up front. You may be vital to pay HOA but you will not be liable for taxes or insurance on the home. This can mean less cash out of pocket overall.

For a copy of my 15-Page Report on Lease Option Secrets for Buyers, Sellers, and Real Estate Investors, e-mail me at: phxazrealtor@gmail.com


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