Owning a home is part of the American dream and something that everyone should be able to accomplish. People used to think of buying a home in their 40s and 50s when they had enough savings and disposable income to afford it. Gradually the trend started to drift towards people buying home after spending a few years in their career field. Provided that they saved enough money for a down payment and had a decent credit rating.
Rent To Own – How Did It All Start?
Though due to the economy, loss of income, or poor credit ratings people started to not be able to own a home and ended up renting.
To maintain the American dream people came up with an original way to combine renting and and owning a home. This is process of buying a home is referred to as rent to own homes. It works by allowing the rent you pay for your home to be applied towards the selling price of that home, also known as a rent credit. Once the buyers have had a chance to clean up your credit, paid the price down far enough to get a loan approved, or saved enough money to make a sizable down payment you have the option of purchasing the home.
Renting To Own Benefits
Not only is this a pocket friendly option for the new generations seeking to purchase a home of their own it also is a safe way to find the perfect home without getting a mortgage immediately. Also, the amount invested by you in the property should give good returns as the property values increase and but also offers a safety net if they don’t because you always have the option to not purchase the home.