Me and my husband are getting the contract to look over in the mail soon and we have always rented and have no experience buying a house. What are things we should look out for in the contract, like clauses or terminology? Are we liable for repairs? Just general information.
2007-07-04 00:15:42 · 5 answers · asked by yeah!!! 3 in Business & Finance ➔ Renting & Real Estate
You can be a part of what goes into the contract.
Just go over what each party wants out of this.
The ground rules so to speak.
As a general rule you will be paying more rent than the place is worth & the selling price will be for more than the owner could get on the open market.
The extra rent usually goes towards a down payment. So this person is getting your savings so to speak, & if the deal goes bad you are out this extra money you spent for rent.
As for repairs. The owner will want to put some thing in the contract making you responsible for as much of the maintenance as he can get away with. I.E hold you responsible for what may be normal wear & tear. Which as a landlord he would be responsible for.
You can ask for any changes to the contract that you want but he don't have to except them.
Just don't let your dreams get you into a big mess. Just look at this as, here is a person with a house that is hard to rent for the price he wants & more than likely won't sell for the price he wants.
If you have good credit & some extra savings it isn't to hard to get a loan to buy a home.
If you have bad credit & lots of bills this will not be a sweet heart deal for you.
That is not to say that there aren't any good deals out there but one has to give great caution to making this type of deal.
When the details are put on paper you need to have them looked at by a lawyer.
2007-07-04 02:05:27 · answer #1 · answered by Floyd B 5 · 0⤊ 0⤋
The best thing to do when getting a home on these terms is to pay an extra couple hundred bucks to have a lawyer go over it with a fine tooth comb.
I have seen too many people get screwed by a guy here in my town that sells the same house 2 or 3 times because of legal but unethical contracts.
They get all caught up in the excitement and he makes too good to be true terms.
2007-07-04 00:28:35 · answer #2 · answered by Kari 4 · 0⤊ 0⤋
The details are in the fine print, there is no Standard rent to own contract! You should retain a attorney or good Realtor with experience to help guide you through this process. It can be a dangerous place for the inexperienced buyer. Good Luck
2007-07-04 00:25:58 · answer #3 · answered by Jan Luv 7 · 0⤊ 0⤋
You need to take any rent-to-own contract to a Real Estate Attorney and pay them a nominal sum of money to review these. These are very different contracts from general rental, and most states have special laws designed for them. Make sure it is the final copy of the proposed agreement.
Real Estate agents are not permitted, under the scope of practice, to explain these contracts to you, because each one is very different.
2007-07-04 00:41:46 · answer #4 · answered by Expert8675309 7 · 0⤊ 0⤋
I've been in the business to long to expect my knowledge to be exact so, I would go to a land attorney or an attorney that knows property. Have them look over that papers and give his O.K.
Another one is a title company, if they'll do it for you. They're bonded and will be insured. Your going to have to pay but, it's better then getting the shaft down the line and, ending up in court.
2007-07-04 00:49:57 · answer #5 · answered by cowboydoc 7 · 0⤊ 0⤋