Rent to Own Homes Plainfield IL
Search Rent to Own Homes Plainfield IL and choose any currently listed home for sale. Renters now have an alternative to giving a lanlord their money and getting nothing in return.
- Choose from almost any* home for sale on the market
- Pay a market value rent
- Buy the home within 3-5 years or as soon as you can qualify for a loan
- Price Certainty - Lock in Prices based on the home's CURRENT market value
- NO RISK - as little as a 1 year committment required
- Low down payment options
- Choose to build equity over term of agreement or keep payments to a minimum
- Homes can be renovated to suit resident
- Quick move in in 7-60 days
Program A: Rent to Own Homes Plainfield - Rental with Purchase Option
Technically, the program uses a lease option contract. The investor usses the current market value of the home and a market value rent. The Resident's (tenant/buyer) contract price for the home increases every year by 5% and the rent will increase by a maximum 3.75%. Typical rent for a $120,000 home is between $1280 and $1420/mo with a 5 year purchase price of $157,100.
How Rent to Own Works
Working with Steve Roake, your rent to own REALTOR specialist, you will locate a home that is currently for sale. This will become your Rent to Own home Plainfield IL. The investor partner buys the home at the best price possible with an all cash offer. Depending on the home, the buyer partner will renovate or repair the home and add to the acquisition cost only the actual costs of repair (no markups). Use their rental calcualtor, a monthly rental price will be established as well as a table of future purchase prices. Buyer partner purchases the home and collects 2 months security deposit and first month's rent for you, the resident, to move in. You agree to rent for a minimum of 1 year then have the option to buy the home. It's that simple! Advantages over renting include a much larger inventory of homes to choose from with less competitions from other renters. You also have price certainty for up to 5 years. Some of the limitations are that some applicants will not qualify based on extensive poor credit. Singular credit events such as a past bankruptcy, short sale or foreclosure will not automatically disqualify a prospective client. The buyer partner requires certain cities and schoold districts to protect their investment. For example, Plainfield South High School is not an approved area, but Plainfield North, Central and East will qualify. They also prefer purchases between $100,000 and $350,000 although other price points are possible.
Program B: Rent to Own Homes Plainfield with Land Contract
The rent to own with land contract is a different form of ownership where the investor buyer purchases the home and immediately enters into a land contract to sell the home. Once a home is identified the investor buyer submits an all cash offer and will, similar to Program A, repair or renovate the home as necessary. The resident then pays 10% or at least $8,000 deposit and moves into the home. Advantages of this program are that this program will work with any home (no restrictions on location) but works best for homes under $150,000. The contract price is fixed immediately at around 30% of the acquisition price and monthly payments are based a 7% interest rate amortized over 20 years. Typically, this results in a at or below market rent payment. The drawbacks are that it doesn't work very well for shorter terms as the price markup is 30% from the start. Find out more about Rent to Own Homes Plainfield IL. Search Available Rent to Own Homes Plainfield IL
Originally posted to http://www.roakehomes.com/blog/rent-to-own-homes-plainfield/