One advantage for a buyer who may have credit bruises is that it allows time to repair credit. A possible disavantage for a buyer is that you loose negotiating power since the seller needs to wait for the buyer to decide whether or not he/she may want to buy. It all depends on the conditions and terms established by both parties since the beginning. With the present market conditions more sellers are willing to lease with the option to buy. The ideal is to make this option a winning situation for all. At this time, I have a listing where the seller considers leasing with the option to buy. Please let me know if I can help.

Amanda,
The pros of course are in getting a credit challenged buyer into a home quicker. In most cases you lock in the price and then a percentage of your lease payment even goes toward the purchase price.
Now the cons. If that seller goes belly up and stops making their mortgage payments the bank will foreclose and you will be out with nothing. You basically at that time are just a renter you would have no legal claim on the home.
Your best bet is to find a good buyers agent and let them find the homes that are available in your area and that match what you want in size.

Hope this helps,