Zillow Advice: Home Ownership - Looking for rent or lease to own home http://www.zillow.com/advice-thread/Looking-for-rent-or-lease-to-own-home/510601/ Zillow Advice | Zillow Real Estate Rent to own homes are extraordinarily ... http://www.zillow.com/advice-thread/Looking-for-rent-or-lease-to-own-home/510601/ Rent to own homes are extraordinarily rare, and a great way to waste a lot of money.&nbsp; <br/><br/><!--[if gte mso 9]><xml> <o:OfficeDocumentSettings> <o:RelyOnVML/> <o:AllowPNG/> </o:OfficeDocumentSettings> </xml><![endif]-->While the theoretical concept of rent with the option to buy may seem attractive because you may think you just pay rent and then one day you own,&nbsp; really it isn't so simple.<br/><br/> Owners who will consider rent to own are very rare, so it will cut down your options for properties considerably.&nbsp;&nbsp; I consider it much smarter to spend a year or two working on improving your credit and (if necessary) saving up a good down payment.&nbsp;&nbsp; Yeah, it is tough to move but it even tougher to lose a lot of money attempting to buy.<br/><br/> Some features of rent to own:<br/><br/>1.&nbsp; Down payment required - often substantial (say 10%, 20% or more) and is non-refundable if the potential buyer doesn't purchase.<br/><br/>2.&nbsp; Monthly rental is above fair market rent, with the only amount going to purchase is the amount above the fair market rent.&nbsp; This is also not refundable.<br/><br/>3.&nbsp; If not qualified for financing at the agreed upon&nbsp; time and price, then you lose everything.&nbsp;<br/><br/> 4.&nbsp; The price is agreed upon at the beginning of the contract, and who knows where house prices are going.<br/><br/> 5.&nbsp; You still depend on the owner to pay their mortgage.&nbsp;&nbsp; If they fail, you lose.<br/><br/>If you do get involved in this, please involve an attorney in the contract.<br/><br/> <!--[if gte mso 9]><xml> <m:mathPr> <m:mathFont m:val="Cambria Math"/> <m:brkBin m:val="before"/> <m:brkBinSub m:val="&#45;-"/> <m:smallFrac m:val="off"/> <m:dispDef/> <m:lMargin m:val="0"/> <m:rMargin m:val="0"/> <m:defJc m:val="centerGroup"/> <m:wrapIndent m:val="1440"/> <m:intLim m:val="subSup"/> <m:naryLim m:val="undOvr"/> </m:mathPr></w:WordDocument> </xml><![endif]--><!--[if gte mso 9]><xml> </xml><![endif]--><!--[if gte mso 10]> <style> /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-style-parent:""; line-height:115%; font-size:11.0pt; font-family:"Calibri","sans-serif";} </style> <![endif]--><br/> Mon, 09 Sep 2013 18:58:00 GMT http://www.zillow.com/advice-thread/Looking-for-rent-or-lease-to-own-home/510601/ 2013-09-09T18:58:00Z Looking for house rent or ... http://www.zillow.com/advice-thread/Looking-for-rent-or-lease-to-own-home/510601/ Looking for house rent or lease to own 3 bedroom 2 or more baths garage fenced backyard Mon, 09 Sep 2013 18:53:00 GMT http://www.zillow.com/advice-thread/Looking-for-rent-or-lease-to-own-home/510601/ 2013-09-09T18:53:00Z Why do people really think ... http://www.zillow.com/advice-thread/Looking-for-rent-or-lease-to-own-home/510601/ Why do people really think there are a lot of these rent to own properties and why would anyone want to try and buy one this way? I have to assume you don't understand how it works or you would run from these. Mon, 09 Sep 2013 18:41:00 GMT http://www.zillow.com/advice-thread/Looking-for-rent-or-lease-to-own-home/510601/ 2013-09-09T18:41:00Z