Sellers
In today’s challenging real estate market there is a large population of Sellers
who are unable to sell their home. We commonly meet folks that, through no fault
of their own, have been unable to sell their home. Who can sell when values have
plummeted and every other house on the market is a short sale or a foreclosure listed
for pennies on the dollar?
Buyers
In today’s challenging real estate market, there is a large population of potential
Buyers who are unable to purchase a home for any number of reasons, and yet they
are driven to the dream of homeownership. We commonly see folks who, through no
fault of their own have had credit challenges.
TwinCitiesRent2own is the Minneapolis/St. Paul’s only organization that specializes
exclusively in the Rent to Own/Lease Purchase residential market place. TwinCitiesRent2own
has invested heavily in the development of our Rent to Own/Lease Purchase programs,
and Our program works to serve the interests of Rent 2 Own Sellers as well
as the Rent 2 Own Buyers. You see in the past, and unfortunately still presently
there are organizations that all too often slap together Rent 2 Own transactions
that don’t have a chance of ever successfully closing. Those organizations just
take their fees and run.
It is not hard to match a Rent 2 Own Buyer with and a Rent 2 Own Seller and get
them to agree on price and terms, but unfortunately for most these deals rarely
close, and the reasons are many.
One
of the primary reasons is that no one does a proper valuation of the property. It
is all to common that the agreed purchase price is not realistic in today’s down
real estate market. So when the Rent 2 Own Buyer goes to finalize their mortgage
to close on the purchase, the property does not appraise, resulting in the Rent
Buyer not being able to get a mortgage for the purchase the home. THE DEAL FALLS
APART! The Rent 2 Own Seller loses the Rent 2 Own Buyer and gets the headache back,
and the Rent 2 Own Buyer loses the home and the money they paid for their option
fee and rent credits. To say the least this situation is a loose/loose. TwinCitiesRent2own’s
process takes a hard look at what the actual property value could be and believes
that it is in the best interest of both the Rent 2 Own Seller and Rent 2 Own Buyer
to only proceed based on realistic property values.
Another common problem is that no one looks at the Rent 2 Own Buyer’s ability to
actually qualify for a mortgage large enough or soon enough to actually close on
the purchase of the home. Many Rent 2 Own companies don’t care what happens 12-24
months later, they just take your money and run. In-fact most companies you come
across aren’t even local, who knows where they are actually located. Good luck finding
them later if you have a challenge. TwinCitiesRent2own’s process has the prospective
Rent 2 Own Buyer go through a Rent 2 Own prequalification with a local mortgage
broker with-in our referral network. The Mortgage Broker looks at credit, Income,
employment history, and income to debt ratios all in an effort to make sure that
the Rent 2 Own Buyer should be able to qualify for a mortgage with-in the agreed
timeframe laid out in the Rent 2 Own Purchase Agreement.
There are many land mines that one would never know of in the Rent 2 Own process.
However, when properly structured a Rent 2 Own sale is one of the most powerful
tools for purchasing or selling a property in today’s challenging market place.
Check out our Buyer’s and Seller’s tabs for detailed information on how to put together
a successful Rent 2 Own Sale.