As a Buyer's Agent, I do not recommend any Buyer's sign up for a Lease Purchase. They often cost a Buyer much more in advance than preferred and the statistics of the numbers that actually close are very few. That means that the majority of Buyer's on a Lease Purchase loose their deposits and any funds that were being paid toward a down payment reserve. As a Seller's Agent, I can't argue with a Seller wanting to let a tenant sign up for one. They odds are in the Seller's favor. In fact, I recently watched a Seller rake in several thousand dollars when the Buyer was not able to close out the deal.
Even with our sales numbers almost to record highs in March, pricing is still very low and interest rates are also low. Buyer's doing a lease purchase can't lock in the interest rates because they do not qualify today. A Buyer would be better served to set up a separate bank account and 'pay themselves' the extra money for down payment and reserves for a year and get their credit in line. Then the Buyer is in the stronger position to set their own terms and buy when they are qualified!
Realty One Group