Rent To Own NC Frequently Asked Questions
What is Rent To Own?
How to qualify?
How do I actually find a Rent To Own
home?
How much of a down payment do I need?
Will I know the purchase price of the
house upfront?
What happens if I like a house that I saw
and I do not want you to show the houses to other people anymore?
How long is the Rent To Own period for?
Who is responsible for the property taxes
and insurance?
What is Rent To Own?
We offer homes to people like you that may find it difficult to get
financed right now. You lease the home with an option to purchase. Your
amount "down" (or Non-Refundable Option Consideration) gives you the
exclusive right to purchase the home and locks in the purchase price.
This gives you time to improve your financial picture and correct the
issues that are keeping you from getting a mortgage. The option fee is
applied toward the purchase price of the home when you acquire permanent
financing as well as a portion of your monthly payment (rent credit).
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How to qualify?
For this program, we require a Non-Refundable Option Consideration
payment, usually around 2% - 10% of the purchase price. This amount is
applied as a credit to the purchase price of the home at the time of
purchase. We also check your previous rental history and verify your
income. We just need to confirm that you have the ability to make your
lease payment. We also do a credit check. The main reason is to confirm
that your credit can be sufficiently improved within the 2-year lease
period. Almost all credit issues can be resolved during that length of
time.
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How do I actually find a Rent To Own home?
Click the " Properties Available " button to go to the list of
properties we currently have available. Homes on this program sell very
fast, often in hours rather than weeks and months.
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How much of a down payment do I need?
We don't have a minimum or a maximum down payment that we require on any
particular house. One of the selection criteria that we use to select
our tenants is the amount of down payment they can give. Of course the
down payment will be credited back to you when you exercise your option
to buy. People can put a down payment as low as $2,000 to as high as
$20,000. It really depends on the house and the tenants who are applying
to the houses.
How long does the application process take?
Once we have your application, we can usually give you an answer in
24-48 hours. Once you are approved, you can move in as soon as you're
ready
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Will I know the purchase price of the
house upfront?
Yes, the rent and the purchase price of the house will be given to you
upfront.
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What happens if I like a house that I saw
and I do not want you to show the houses to other people anymore?
You can place a Deposit to Hold on the property. You will need to fill
out a Deposit to Hold form and provide a certified check (the amount can
be negotiated but it's normally between $2,000-5,000). This will take
the property off the market and no more showings for that property will
be scheduled. The showings that have already been scheduled will still
continue. We will process your application and if we decide to select
you to live in the property, the Deposit to Hold money will be applied
towards your down payment. If we select you to live in the property and
you do not want the property anymore, the Deposit to Hold money will be
NON-REFUNDABLE. If we do not choose you to live in the property, the
Deposit to Hold money will be refunded back to you.
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How long is the Rent To Own period for?
Typically we can give you twelve months and quite often up to
twenty-four months before you would need to complete the purchase. Each
property is treated individually and we try to accommodate your own
situation. HOWEVER, you may buy at any time within the length of the
agreement. You do not have to wait till the end of the agreement.
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Who is responsible for the property taxes
and insurance?
Until you obtain a mortgage and exercise your option to purchase the
home, we are responsible for paying the property taxes and insurance.
After closing, you become responsible for paying the taxes and getting
your own insurance policy. We recommend that during the lease period you
obtain renters insurance to cover your belongings.
Please contact us if you have any questions.
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