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Answers (8)
- sunnyview
- Contributions:25139
Even small single property landlords have the ability to check credit at this point. Those that don't do it are taking a chance with a large investment. It's like an employer not checking employee references. Not smart.
- Todd Held, "Todd Held"
- Contributions:24
I know for a fact that a lot of landlords ( not professional mgmt. companies) don't do credit checks. They don't have the capabilities to do so. Cash is king.
With regards to the statement made by Keith Cook, the owner does NOT need to own the property free and clear. That is what a wrap is. Buying a property that is already mortgaged. Again, if you go this route, hire a professional that understands how a wrap or rent to own actually works. As you can see, not everyone does.
With regards to the statement made by Keith Cook, the owner does NOT need to own the property free and clear. That is what a wrap is. Buying a property that is already mortgaged. Again, if you go this route, hire a professional that understands how a wrap or rent to own actually works. As you can see, not everyone does.
- sunnyview
- Contributions:25139
In my area, a credit check is an essential part of all tenant screening along with verification of employment. Bad credit in fact can impact your ability to both rent or buy the property that you want. No one wants that risk unless they cannot rent or sell to someone with good credit
- Keith Cook, "BuyerMax"
- Contributions:833
Buying with bad credit is very difficult - unless you find a owner wiling to finance you - most likely with a large down payment. You will need to locate a owner who owns the property free & clear of any existing mortgages.
I have had very good luck with rent-to-own sales. ( aka Lease with option to purchase) There are several factors that help determine how this type of purchase will work. 1) Price 2) Down Payment 3) length of time of the option 4) Rental amount 5) amount of rent ( if any) that would be applied towards the purchase price. These types of sales work great if for whatever reason the buyer is not able to finance the property now - however they will be able to finance the property or resell the property within the option period. IF treated right this is a great way to get into real estate. As in many real estate transactions it would be advisable to consult a Realtor and or Attorney to make sure the paperwork is prepared correctely. Make sure you receive a Title Policy. In Washington State you would be entering into a Lease Agreement, Option Agreement and a Purchase and Sale Agreement. Best of Luck.
- ezlease
- Contributions:3
Most companies will advise you that 'credit' doesn't have anything to do with renting.
That line of thought is very outdated and whomever believes this probably hasn't tried to rent an apartment in years !!!....
That line of thought is very outdated and whomever believes this probably hasn't tried to rent an apartment in years !!!....
- Cheryl Talbot Real Estate, "Virginia Beach Homes"
- Contributions:674
I would try talking with a lender to determine what you can and can not do. Most every bank has a mortgage division. I would try your local bank first and then from there, they can suggest who else might be able to assist you. I have many buyers who have had difficult credit issues. In working with a lender, they were able to overcome them and buy. You never know until you try. It doesn't cost you anything and they are there to assist you. They are the specialist in their field and know what it takes to get you into a home. Thank you for your question.
- Todd Held, "Todd Held"
- Contributions:24
You will need at least 20% down, and patience. I don't suggest rent to own, because they never in my experience have worked out to anyone's satisfaction.
A better route is to find a seller that is willing to wrap their mortgage. In todays tough economy, that shouldn't be too hard,but I would advise you hire a Licensed Sales person to help you to understand the potential pitfalls and work through the process so that all your "bases " are covered. Many people will say don't go this route for a variety of reasons, but I have seen many wraps come to fruition and BOTH parties walk away happy. Good Luck
A better route is to find a seller that is willing to wrap their mortgage. In todays tough economy, that shouldn't be too hard,but I would advise you hire a Licensed Sales person to help you to understand the potential pitfalls and work through the process so that all your "bases " are covered. Many people will say don't go this route for a variety of reasons, but I have seen many wraps come to fruition and BOTH parties walk away happy. Good Luck
- Tom Kern, "TomKern"
- Contributions:1
As far as renting goes, credit score is 1 of several factors that landlords look at in potential tenants. They also look at past rental activity, income eligibility and whether you have pets. If you have no pets, have adequate income to cover the rent and your other payments and very importantly, can provide a good rental reference from your previous landlord, most landlords can overlook the low credit score especially if you can explain the circumstance that led to the low score. I have had landlords who have not asked to see credit information if all of the other things checked out. Sometimes it's a good idea to meet with the landlord first and explain your situation and put on a good first impression with them. Be upfront from the beginning. It shows them that you are an honest person.
How to rent to own or buy house with bad credit?
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