Home Buying in 78240>Question Details

Daniel, Home Buyer in 78247

do realtor,s sale rent to own houses?

Asked by Daniel, 78247 Sat Sep 11, 2010

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12
Hello Daniel,

You've already received quite a few answers. Lease Options or Rent to Own are all but illegal here in TX except if the contract is for 6 months or less. You can make an offer on a property and set the closing date out for up to 6 months and then do a lease agreement for that period of time. Your down payment would be considered Earnest Money in your purchase contract. None of the Rent however can be put toward your down payment.

Hope this helps.

Petra Richardson, Realtor
210 724-8529
realtorpetra@yahoo.com
Web Reference: http://www.takinguhome.com
1 vote Thank Flag Link Sun Sep 12, 2010
Daniel,

there is the possibility, as an addendum to a contract, to create a buyers temporary residential lease, You could make an offer on a home that is listed for sale, and part of the offer could be that you lease the property for a number of days/months prior to the purchase/closing. None of the "rent" however, is applied to the purchase price. It's more like rent then own vs. rent to own. If you are waiting because you are saving for a down payment or for closing costs, Call (210) 281-1604 and find out why you should not wait, and how you can save thousands by receiving up to half of any commission as a REBATE that could be used towards your pre-paids/closing costs when you buy a home using Half Priced Real Estate.
Web Reference: http://www.halfpriced.com
1 vote Thank Flag Link Sun Sep 12, 2010
Rent to own is risky business, however, there are quite a few owners that are willing to carry a contract. It's one of our search options for property. If you are interested to see what's available you can have a search set up for you and sent to your email.
Web Reference: http://www.janaworks4u.com
0 votes Thank Flag Link Sun Sep 12, 2010
Sorry, a lease option is not an option in TX.

But with intrest rates so low right now anyone can own a house. Sometimes a mortage payment can be lower then the rent that you are paying.

Let me know if this helps.

Terry Mendicino
Karen McMillan Realtors
service cutomized for you needs
830-765-0346
0 votes Thank Flag Link Sun Sep 12, 2010
Each Realtor has their own business plan what their preference(s) are represent a property owner OR tenant OR buyer.

Yes as an example I represent these types of transactions however not every agent in my office does.

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
0 votes Thank Flag Link Sun Sep 12, 2010
Lease options are not done in Texas. One of the major problems with lease options is you set the sales price at the beginnning, but what happens if one year later the property value has dropped? You lose and if you back out you lose whatever money you put down - not good for you.
0 votes Thank Flag Link Sat Sep 11, 2010
Hi Daniel,
Lease to own, or lease options are much riskier to get into than a simple seller finance. With a seller finance, it's straight forward. You put X amount down with payments for a set term.

The other 2, you'll definitely want your own attorney to look at the contract, or it could cost you BIG TIME. Imagine with a lease option (or rent to own), that you put down a fee upfront for the right to purchase the home at a pre-determined price in the near future. Typically, these deals require that the market rate rent is applied as rent, and anything over and above market rate is credited towards the purchase.

Remember the fee I spoke of earlier? It is typically substantial and non refundable. What if later you find a better home for you OR can not meet the terms to get financed? What if any number of things happen? you could loose your deposit, and just be out.

I can see why rent to own may sound like a good way to home ownership, but if you can't qualify or can't find an owner financed property... I would recommend putting the deal on hold and just renting until you can get financially ready to purchase with a regular mortgage.

You also have to consider... while you're making your payments to Joe Homeseller. Is Joe Homeseller making the payments to the bank that holds the original note?

Good question! Thanks for asking. Hope it works out for you which ever way you decide.
0 votes Thank Flag Link Sat Sep 11, 2010
Hi Daniel-NO, not in Texas. No attorney or Realtor will touch them. Bad for both sides.-Larry Sotoodeh-210.421.4151
0 votes Thank Flag Link Sat Sep 11, 2010
lease option is a choice on our MLS, but I agree with others that typically it is just requested in an offer.
0 votes Thank Flag Link Sat Sep 11, 2010
lease option is a choice on our MLS, but I agree with others that typically it is just requested in an offer.
0 votes Thank Flag Link Sat Sep 11, 2010
More often than not, lease-options are negotiated rather than found (via listings).
0 votes Thank Flag Link Sat Sep 11, 2010
There are some very specific rules in place dealing with rent to own houses. As Realtors, we can sell them but the paperwork involved usually requires an experienced real estate attorney. Seller financed homes are not the same thing and give more protection to the buyer. Call and ask a Realtor for help.
0 votes Thank Flag Link Sat Sep 11, 2010
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