one of the challenges facing real estate buyers , and thus, home sellers , is the difficulty for home buyer's to obtain loans. We are suffering in many of the towns of Maricopa County, North Phoenix, Peoria, and Glendale where we have been designated a 'declining area'' ; thus  tightening credit further in most of Arizona.

Across the country, lenders have significantly tightened credit and lending standards, making it a challenge for even the most credit worthy buyers to obtain financing.

The biggest space in the mortgage market is the lack of, or virtual disappearance, of 100% Financing.

100% financing or majority financing as it is also know made it possible and for better of for worse to obtain a loan. These days, in Metro Phoenix , Arizona , at least, a buyer needs at least 5% down payment (often more) to get financing.

One way (for those who are willing to rent to a prospective buyer) is to enter into a lease-option ...

(not to be confused with a lease-purchase- which is different we will talk at a later time).

Simply put, (please speak with your real estate agent and/or attorney), you would rent your home to a buyer who would deposit monthly rents and apply a portion or all of rental payments to the down payment of the property.

of course, it depends on the rent, however, in many cases, in about 6 months, the tenant would have 5% or so and would then may qualify for the loan.

There are other important issues, such as lease agreement, purchase contract and option contract that are necessary, so again please please speak with your real estate agent and/or attorney.

again, you have to be willing to rent your home. However, you can still accept back-up offers during the term of the option, should the tenant not exercise his right to purchase.

Just another idea to help sellers do just that, Sell your Home!

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Copyright © 2008 By James Wexler, All Rights Reserved. *Help your Tenants Buy your Home - Lease Option*

Contact James Wexler (480) 221-8080 for all your Phoenix Scottsdale area Real Estate needs.