Lease to Own

This week Dallas Native sits down and discusses the myth around the topic of ” Lease To Own “.

 

Mary Beth: Hello. I this is Mary Beth Harrison with Dallas Native Voice and today I want to talk to you about a subject that we get asked a lot. That is lease to own or rent to own. So many people want to rent a property for a period of time and have those rental payments go towards their purchase. Well it actually doesn’t work that way. Renting is renting, purchasing is purchasing. So you can’t combine the two. I’m gonna give you an example, let’s say that this house should rent for $1,000 a month, and that’s what all the homes around it are leasing for. They would have to lease that property to you for say, $1,2000 or $1,5000 a month and only that additional $200 or $500 would go towards the purchase. It’s actually not a contract that a realtor is allowed to write. It would have to be done through an attorney.
So what would be a better way to do that is just rent the home for the period that you want to rent the home and when you’re capable of buying it then we maybe write in the lease contract that you would have first right to buy this home if the owner ever wanted to sell it. Maybe the owner just wants to keep it as a rental property. We never know that. It always often comes up that the seller’s owned a rental property for many years and they call us and go okay, we’re ready to sell it now. We always try to go back to the tenant first, bul if you wanted to make sure that they came to you first, then we would just write that into the lease from the very beginning. There really isn’t a way to do a lease to own. It’s really two different transactions. Hope that answers that question. Thanks for listening. You can find us and all social media and of course at DallasNative.com.

 

 

 

Information Courtesy of Dallas NativeΒ 

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