Buying a house helps the owner to feel like a mini-God. It has been extremely important for an average American to own a house. But there are many who are not able to buy a house especially because of the worldwide recession and widespread loss of jobs.
Traditionally, it has been evident that landlords mostly rent property on a monthly or annual basis and additionally, one month security deposit is taken to pay for any damages the tenant might do to the property. The deposit is reimbursed back to the tenant when the lease duration is over.
But, the truth is that the tenants do not pay for the last months’ rent. To top it all, the courts systems in US are as history suggests, favorable towards tenants in this regard. By the time a landlord can come to know or approach a court, the tenant already plans of an escape and does not shell money for the last month’s rent. The landlord might also have to pay for any tenant-caused damages out of your own pocket.
There are many people in the US who have vouched for a house by the rent-to-own process. It is fast catching up with traditional purchase of house through loans or outright payment. It is also the preferred choice of first time investors who are new to the market and do not want to risk in a lot of money.
One of the facts is that the down payments for the real estate market keep increasing with time. Hence buying rent to own homes in Chicago or Plainfield is a better choice, as the money to be shelled upfront in this method are very low.
Additionally, there is another benefit of Chicago rent to own homes in Illinois, Plainfield, and Aurora. People do not have to worry what the closing cost of the property would be. The agreement regarding the price of the house is done and final. You just have to pay on the mutually agreed price between the buyer and the landlord.
The rent-to-own agreement process is as follows:
1. In general terms, the tenant signs a rent-to-own agreement. The agreement includes a refundable security deposit.
2. The other option is the rent-to-own home buying scheme to pay a non-refundable option fee as part of buying the house. Part of the proceedings will be for the rent and some amount will go for future down payment on the property.
3. The rent-to-own homes concept also says that tenants will typically have to pay a premium rent for the deal.
Rent to own investors have to bear in mind about the repercussions of buying property through the rent to own option. One has to be careful before agreeing to opt for the option because there is no bank or mortgage institution as an intermediary to solve any dispute. For more information about rent-to-own houses in any US state, or for any real estate query, log in to www.locatere.com.
By ArtsyBee from Pixabay