Using a rent to own agreement can be a great solution to selling for both the buyer and the seller. There are two basic types of rent to own agreements, an option to buy or an agreement to buy. With the option, the buyers can try out the property as if it were their own. At the end of the agreed-upon period, they can either buy or walk away. Just as it sounds, with an agreement to buy, the buyer must follow through with the contract. Because you hold the property, you also hold the cards in the negotiations. Ready to learn more? Read on to find out about these five perks of using a rent to own agreement to sell your house in Kansas City
Different Sector of Buyers
While competition is fierce for buyers on the MLS, buyers who may not quite fit the bill for the traditional loan are just waiting for a chance at attaining homeownership. Due to their inability to qualify for conventional loans, and opportunities are limited in this market sector, rent to own properties rarely sit for very long. Due to low supply and high demand, rent to own is a seller’s market, which is a great perk of using a rent to own agreement to sell your house in Kansas City
A quick sale is a money-saving perk of using a rent to own agreement to sell your house in Kansas City . While you still maintain ownership of the property, you won’t need to be concerned about paying holding costs, waiting for the right buyer to come along on the traditional market. You and your buyer agree on a purchase price and sign an option or agreement to buy.
Collect An Up Front Fee
An up front fee can be collected from the buyer to secure the deal. This is an excellent financial boost and a perk of using a rent to own agreement to sell your house in Kansas City . The up front option to purchase fee is yours to keep regardless of whether the buyer actually follows through with buying.
Confidence in Your Tenants
Tenants who agree to pay an up front fee for the sole right to purchase your property are likely serious buyers who will execute on the terms and fully close on the property before the contract ends. Additionally, because they act as if they are the owners, the tenants are typically responsible for the maintenance and repairs. This peace of mind is a nice perk of using a rent to own agreement to sell your house in Kansas City .
Get Market Value +
Holding the cards means you set the rules of the game. When it comes to rent-to-own contracts, you’re, in essence, keeping your home off of the market for a specific period. Making an educated estimate of the home’s value may be when the contract ends, you can set the sale price at a higher value than the current market. Additionally, you can charge a higher than average monthly rent while collecting an additional amount towards the purchase as a further part of the down payment, spread out over time. This immediate gain in value is another perk of using a rent to own agreement to sell your house in Kansas City . On the other side of the coin, if the market value drops, you avoid an equity loss.
Call Mastiff Home Buyers to discuss these and many more perks of using a rent to own agreement to sell your house in Kansas City . Mastiff Home Buyers makes the process easy and can help you with every step! Send us a message or call (816) 535-0076 today!