I am the seller and there is one buyer interested. Need to sell asap. have financial issues, house needs maintenance and is in irving texas.
2007-02-10 14:16:17 · 5 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
Don't do rent to own. It can make for a mess if they don't pay and you try to evict them. Rather, do lease option.
It works this way. You institute a lease, like any normal lease. The lease does not recognize the option at all. It is just a lease.
The you have a second instrument, the option. In it you recognize the lease and require them to abide by all its terms and covenants. You establish an option period, it can be any number of years, but it is best to limit it to a period of time sufficient to cover their down payment.
At the end of the option period, they must exercise their option or loose it. Their cleaning deposit from the lease becomes their option payment.
If they exercise their option, you will cast part of thier rent as a down payment. I have done this on a month-to-month basis, and allowed them to exercise their option at any time up to 4 years. The amount you cast per month is up to you, and the period they have to exercise the option is up to you. If you want the money faster, shorten option period.
I would suggest you pay all taxes and insurance. You can simply add this to their rent payments to reimburse you for the expense.
When I have done this, the option would give them a 20% down if they used the entire 4 year period. The then go to a bank or lending institution and get a loan. With 20% down, almost any one will lend to them.
I have required the tenants to maintain the premises, but didn't allow repair without specific written permission. If you don't keep control over them, they can destroy a house. I've seen them gut a place with the supposed intent of fixing it, only to find out they couldn't afford the costs, and abandon the property.
Hope my explanation helps.
Good Luck
2007-02-10 14:40:18 · answer #1 · answered by A_Kansan 4 · 0⤊ 0⤋
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2016-07-19 12:36:22 · answer #2 · answered by Edith 3 · 0⤊ 0⤋
Rent To Own Home - http://RentToOwnHome.uzaev.com/?ZcvM
2016-07-12 11:57:25 · answer #3 · answered by ? 3 · 0⤊ 0⤋
Go to rentalhouses.com and they have resources that will show you where and how to download the forms that you need.
2007-02-10 14:57:56 · answer #4 · answered by Jackie S 1 · 0⤊ 0⤋
www.ilrg.com
2007-02-10 14:20:26 · answer #5 · answered by spideyrealestate 2 · 0⤊ 0⤋