Is there rent to own method in new jersey or all the states, available?
How does it different[ rent to own] from that normal monthly payment mortgage methods.?
2007-02-25 11:26:18 · 5 answers · asked by Thilani 1 in Business & Finance ➔ Renting & Real Estate
with rent to own you typically pay higher rent and a portion of the rent is set aside for the future purchase of the house. If you can afford to buy a house do it, because it is the only way to live where you can actually make money.
2007-02-25 11:30:20 · answer #1 · answered by Drew S 2 · 0⤊ 0⤋
Rent to own is a bad idea, you end up paying rent with little or no money going toward the purchase of your home. If you can, buy the house, that way the money you pay every month is going toward your mortgage,which you will own, during the rent to own phase you can still be evicted, and the money you have paid every month has gone to nothing. If you are thinking of rent to own, because you don't have a down payment, talk to a realestate agent, there are federal programs that will help or cover the down payment.
2007-02-25 19:39:04 · answer #2 · answered by Kimberly H 4 · 0⤊ 0⤋
Rent to own is usually offered by sellers who have had difficulty selling their place and it's usually one they own outright. Typically it's a standard rental lease with the agreement that a portion of the rent will go in a pot toward a down-payment on the house. If your rent is $1000, maybe $200 of that goes toward the downpayment every month. That money is the landlords--even if you decide to back out of the deal, you don't get that amount back that was earmarked as a downpayment.
www.naca.com is a housing advocacy group that does it's own financing. check them out, I think they are nationwide. If you go through their homebuyer program they work with you to buy a home and they do their own lending at fixed rates that are usually below the going rate. They got their money from a big lawsuit against a bank for predatory lending a while ago.
Good luck!
2007-02-25 19:31:30 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Rent to own should be used if you can;t qualify for a house, or if you don;t know your long term plans (such as: you might be moving within the next few years).
If you can qualify for a mortgage than do that.
2007-02-25 19:29:04 · answer #4 · answered by Dr. of Situational Psychology 3 · 0⤊ 0⤋
own so you dont have to pay rent
2007-02-25 19:29:33 · answer #5 · answered by Masonmpc 2 · 0⤊ 1⤋