what does it mean "lease to own" ?

Question

i was looking to rent a manufactured home. and i read "lease to own" . what does lease to own mean?
http://marshallscrossingmhc.com/homes.htm

Answer 1

Means "rent to own" You still rent or lease but the money goes towards the purchase of the home.

Answer 2

How Does Rent to Own Work?

It's simple really. You know how some people rent to own their furniture or TV's? Or even lease their cars? It's the same thing! They make a down payment, pay an agreed upon monthly payment and at the end of their lease term have the option to buy the couch or TV or car for an agreed upon price.

Rent to own is another way to say "lease option." It means you are given the right or option to buy a home after a certain period of time. That is the main difference between you and a renter. A renter has no rights to the house when the lease is up. They can either move or renew the lease. Rent to own is the same as a home for rent with option to buy.

When you rent to own, you pay option money (a "down payment"). But what you're buying is the right at the end of your lease to buy that home and the equity you've built up in it while living there.

Good Luck!!

Answer 3

When you lease a horse you don't own it. You just "rent" it for an amount of time from the barn/owner. A full lease is 7 days a week and a half lease can be 2, 3, or 4 days. You pay the person you are leasing it from for the use of: - the horse - usually the tack/grooming supplies - if you lease it from a barn, his stall/paddock and the ring - sometimes they let you move the horse to the barn of your choice - you have to talk to the owner about whether they want you to pay for the grain, hay, bedding, farrier, vet, and board. Usually the horses that are for lease are not the top competitive dressage/jumper horses. The owners would never lease them out to someone they don't know. Sell, yes. Lease, no.

Answer 4

You would rent for a certain amount of time, and the money or a part of the money would go to the payment of the house at the end of the rental agreement.

For example if you lease a car, and make $300 payments a month for 2 years, after two years, if 100% of the payments went to the purchase of the car, then you could either buy the car for the remainder of the balance or look elsewhere.

It's almost like renting, and then at the end having the option to buy it, using some of the rent money you have already paid.

Answer 5

It means sign a contract make payments and if you decide to buy it the price is X amount of dollars. Thus the wording lease to own! This is for people who aren't decided on whether they want to buy the property or not but if they decide to do so the option is there's.

Answer 6

It means that when the lease runs out you have the option to buy it and the money you already paid on the car or house in your case goes towards the price.

Answer 7

lease to own is where they take part of the rent money and use it as a credit towards your down payment. usually 1-2 years them you must find a mortgage company to carry the note. if not then you lose the down payment credit

Answer 8

MEANS U LEASE IT OUT FOR LIKE A FEW MONTHS AND THATS HOW U WORK TO OWN IT. KINDA LIKE A RENT TO OWN..I WORK IN A C.P.A. OFFICE AND ITS A WAY TO WELL IN A SHORT WAY OF SAYIN IT RESALEIN IT. LIKE IF U STOP PAYIN RO MOVE THEN U LOSE EVERYTHING U'VE PAID FOR. U DON'T OWN UNTIL THE VERY LAST PAYMENT HAS BEEN MADE. AND IT WILL BE HIGHER THEN RENT TOO.

Answer 9

It means that your basically renting it but making payments every month (like a normal renter or home owner) to eventually pay off the whole worth of the house and it'll be yours.

Answer 10

It means different things to different people.
Literally it means what it says but technically, MOST people use it to mean that you will be leasing until you can afford to obtain an outside loan. Outside meaning, from a person or company outside of the transaction.