Lease to Own Kissimmee St Cloud Florida Real Estate

Lease to Own- Kissimmee St Cloud Florida Real Estate is a question I get often from potential buyers.  Typically the buyer has a credit issue, which would prevent them from seeking traditional financing. Issue include but are not limited to: Bankruptcy, strategic default, or foreclosure.  All of which, would severely damage their credit rating and exclude them from obtaining a traditional loan.  So what is the alternative?  Renting?

                                                                                                                                                                                                                                                                          These days landlords are pulling credit checks.  Before entering into a lease agreement, landlords and management companies in Kissimmee St Cloud Florida,  want to be sure the tenant is not going to default on the lease agreement-causing the added expense of an eviction.  

 So renters need to be mindful, that poor credit can and does jeopardize your ability both short and long term to obtain housing.

Lease With the Option to Buy

A lease with the option to buy-is where a landlord will agree in writing to sell the unit at a future date for an agreed upon price. A portion of the rent is secured and applied towards the purchase price or down payment. The remainder is used for rent which is non refundable to the renter.

In a declining market, a rent to own (or lease/option) will benefit the seller of the property.  Provided of course the renter follows through with the purchase.  But more times than not, what happens is when the lease is up and the option to buy is reevaluated, the renter decides they do not want to purchase the property.  Depending on the lease agreement, they may be entitled to their deposit monies back.  It will be contained in the fine print of the lease with option to buy agreement.

In a rising market, the renter stands to benefit in the gain in equity the proprty may achieve. So from the buyers viewpoint a lease with option to buy can be a good strategic investment for long term gain.

Important Considerations on Both sides

With credit issues being so prevalent these days, owners of real property are less likely to want to take a chance that a lease option can go sour. Many are waiting out the market in hopes they will recapture some of their lost equity. Other owners are already upside down, owing more than the property is worth and  are at risk of foreclosure. We see a high number of these in Kissimmee St Cloud, Florida.   If the property falls into foreclosure, a lease option may not be honored causing all kinds of tangential problems.

Real Estate is no longer striaght forward- with so many lenders having their hands in the process it is very complex. If you are looking for a creative way to obtain a property, it is wise to seek legal counsel. Hire a Real Estate Attorney who can advise you what your legal standing would be in in a variety of scenarios.

Whether Buying St Cloud Florida Homes & Land, or Selling St. Cloud Homes or Land, Allison will take the time to find out what is important to you, answer your questions, and share important information on current market conditions.

Licensed and Certified we specialize in ALL aspects of residential Real Estate. From contact to closing we are with you every step of the way, answering your questions, overcoming obstacles and getting you to the Closing table as stress free as possible. Our team consists of like minded, friendly knowledgeable Sales Associates who offer outstanding Customer Service. We guarantee you love what we can do for you in making your Home Buying or Selling Experience with us a good one.