From the inbox: why don’t people rent to own?

This questions comes up a lot!  The answer to this one is complex and heavily market dependent.  Local agents, please chip in here if you’d like.

**THIS IS NOT LEGAL ADVICE**

The short answer is that in the Colorado Springs market, they generally don’t have to. The demand for housing is high and interests rates are so low that the majority of buyers don’t need this type of financing, either.

The longer answer is that a rent to own is not a simple transaction. A lot of folks think this is an easier option than a traditional purchase but that’s not the case.

Rent to own often requires a substantial down payment. Also, this money is usually forfeit to the seller should you the buyer choose not to execute a sale.

That said, they have their place in a market. If a person would like to buy a home but needs time to work on their credit, it’s an option. However, always consult with a lender, Realtor and attorney prior to signing or drafting a lease purchase option contract,

Looking to buy or sell a home in Colorado Springs or Denver? Call Rob at 719-440-6626!