Even though rent
to own may be good for a short period of time, it proves to be an
expensive way for someone to buy something they intend to keep. Rent to
own merchandise for example, may sound quite compelling at a few dollars
a week. The agreement is normally for around 15 - 20 months, which is
where the company makes their money. Although you may be paying just a
few dollars a week, the total amount quickly adds up to nearly twice the
cost of the item.
Along with
paying rent, you'll also have to pay applicable sales tax as well. Like
merchandise, rent to own real estate has it's disadvantages. Even though
it can be great for those with not so great credit, you'll normally end
up paying back a lot more than you would with a mortgage. You'll still
have to pay back your lender with a mortgage, although that amount won't
be nearly as high as it would if you decided to get a house on a rent
to own basis.
In most cases, rent to own houses are put up on the
market by the owner. This way, you'll deal directly with the owner. It
will start out as a traditional lease, then proceed to a rent to own
basis if you decide you want to keep the home. You and the owner will
then work out an arrangement, which will normally be quite a few years.
Some owners are very flexible and will work with you just to get the
price they want for their home, while others will charge you quite a bit
more, in order to make a hefty profit.
If you have bad credit
and can't get approved for a mortgage, then rent to own would be your
next best option. Although some don't like to do it due to the price,
for many it's a better alternative than an apartment. With rent to own
houses you are paying money towards the home, instead of just paying
rent. In some cases this is fine, although you should make sure to
double check with the owner before you agree or commit to anything. This
way, you'll know how much you'll be paying for the home - and for how
long.
Brak komentarzy:
Prześlij komentarz