The economic climate continues to instill worries and hesitance in buyers wanting to buy Miami real estate, forcing owners to consider alternatives to traditional home selling methods which are simply not the most viable means of ensuring a sale these days. At the same time however, some buyers are finding that even as the prices for Miami Beach condos and Miami Beach real estate plunge, the required down payment and asking price remains out of reach.
As a result of this situation, Miami rental properties have become increasingly prominent and homeowners eager to sell are taking the rent to own approach. The perk of renting to own—commonly recognized as a lease option—is that it opens up the buying prospect to a larger pool of potential buyers who simply may not have the monetary funds or credit to own the home or are between jobs. As this rent is paid off incrementally, the down payment is eventually accrued and equity in the home is built. Sellers also benefit by receiving regular income from the home instead of watching it remain stagnant in an already crowded market full of homeowners wanting to sell.
It’s important that homeowners consult a Miami real estate broker or attorney if they’re considering going the rent to own route as there are possible monetary risks involved should the renter(s) decide not to purchase the property at the end of the lease/rental period. Sellers should always ask for a fee or security deposit of sorts when the deal is first established and then establish an agreement with the potential renter/buyer to ensure as little monetary loss as possible. During a time when the values for Miami Beach condos remain in a perpetual state of discord, it’s important that sellers don’t lose any more money than necessary as they tread an already tricky real estate market.
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