The lease to own Charlotte blog is the premier source for information on Rent to Own, Lease Purchase and Owner Financing properties. We are unique in that we offer information and how to set up a lease or rent to own situation.
In 2008 the housing market crashed and the United States economy went into a severe recession. Over 220 banks and financial institutions across the country either went out of business, had to be taken over or bailed out.
The housing market crash has undoubtedly made homes more affordable. However, the financial crises and failure of so many banks means that there is less money available for people looking to buy a home. Credit is essentially frozen as the few remaining banks are being overly cautious by imposing extremely strict lending requirements or are simply denying new home loan applications.
The new lending requirements mean that people with any or all of the following typically find it difficult to qualify for bank financing right now.
|– Divorce||– Blemished credit|
|– New job (less than 2 yrs in existing employment)||– Home needs minor repairs|
|– Self employed/small business owners||– Insufficient down payment|
|– People needing to move quickly||– Limited credit history|
|– Newly weds||– Insufficient reserves (at least 6 months of living expenses)|
|– Existing debt (credit cards, car loans etc.)||– Previous bankruptcy or foreclosure.|
Solution for Home Buyers
Get an affordable home today with Rent to Own or Owner Financing terms. Thousands of people in all of the above circumstances have responsibly obtained homes within their means using Rent to Own programs. The qualifying process is hassle free, fast and simple.
Rent to Own
Rent to own also known as lease with the option to buy is a transaction in which the buyer agrees to rent the desired property for a period of time with the option of purchasing at a later date. In exchange for a down payment, the tenant is guaranteed an exclusive right to purchase the home within the agreed time frame. This means you can lock in the low prices available today and close on the home in future when you are able to qualify for traditional financing such as FHA, VA or conventional loan. Rent to Own transactions are only for people who have a realistic chance of qualifying for a new mortgage before the end of the Rent to Own agreement period.
Owner financing also known as seller financing is a transaction in which the seller of a property agrees to take all or part of the purchase price in regular installments over a period of time. Since the seller is accepting payments over a period of time, a larger down payment is usually required and interest is charged on the remaining balance. Owner financing allows you to reap the benefits of home ownership right away without any of the delays, stumbling blocks or headaches associated with borrowing money from a bank.
Solution For Home Owner
When the housing market took a hit. Both homebuyers as well as homeowners found themselves with unexpected series of startling hurdles. Repos increased, debt payments with adjustable rates skyrocketed, as well as home values began to fall, tricky times? Would be sellers found that their properties stayed vacant longer despite decreasing the asking price. And when an offer was acceptable to seller, then would be buyer would have an issue with the appraisal or lender requirement and walk away. With these sorts of issues the homeowner has few options.
Enter Rent to Own
As a homeowner you decide to lease to own for a certain length of time. Common lease periods for many lease to own Charlotte properties is 1-5 years. During this period the renter has the exclusive right to the property and the option to purchase at the agreed purchase price.
Down payments called the option money is accepted by homeowner and usually is greater than a rent deposit. Normal up front option money $5k -$15k depending on purchase price. However it’s still lower than the 20% required by many banks for down-payment.
Lease to own houses in Charlotte
Benefits to homeowner include
* You can sell without major renovations or lowering sells price (losing equity).
* Monthly rental income will cover any of the property’s monthly costs.
* Lease to own provides you with more buyers to choose from.
* You can sell your home faster.
* Saves seller from being forced to pay dual mortgages payments.
* No realtor fees.
* The renter becomes responsible to maintain property. After all this is their home.
Would you like to sell your home through our program? Contact Us.
Would you like to purchase through our lease to own program? Contact Us.
Would you like more information on our lease to own programs? Contact Us.
For more information on the Charlotte real estate market visit our website “Charlotte Homes and Market News”.
To join our tenant-buyer rent to own list visit our website“Wilson Investment Properties Sells”.
Ceno Wilson/Managing partner Wilson Real Estate Investment, LLC.