What is a Lease Option Program?


We can lease you a home with the exclusive right to purchase it at a later date. Our buyers love it because it gives them time to clean up past credit problems, time to sell another home, and also time to try out the neighborhood before buying.  


I am renting now.  How is this different?

This is a way to help you get started toward BUYING your own home.


How Much Option Consideration / Down Payment Do I Need?

We are very flexible with down payment (or option consideration), but you will usually need to have at least 3% to move in. The reason why we require 3% is because if you truly want to buy this home in 1-2 years and not be a career renter, FHA and most banks currently requires 3-5% down for permanent financing.


Is the price of the home determined and fixed in advance?

Yes. The price of the home is decided at the time you sign the Lease Agreement and is not affected by the local market conditions.


What Methods Of Option Consideration / Down Payment Are Accepted?

Unlike most lending institutions, we accept borrowed funds for closing. If you have a close friend or relative willing to lend you money for your down payment you can use that in our programs. You may also be eligible to withdraw or borrow from your 401K to purchase a home without penalties.


Is the Option Consideration / Down Payment non-refundable?

Yes!  If you break the lease or don’t pay your rent, you forfeit all of your option consideration money. 


Do You Offer Down Payment Assistance Programs?

Sometimes.   Some of our homes that are available for Owner Financing, if you haven't owned a home in the last 3 years and you don't owe any money in taxes, we may help you qualify for the $8,000 first time home buyer's tax credit. We also, on occassion, have some Handyman Special / Work For Equity homes were you can build large amounts of sweat equity that may be applied to your future down payment.


How can I buy a home when I have bad credit? 
You can't through conventional lenders, but you can with our help.  Through our Lease Purchase, we can help you improve your credit over time. We are not extremely interested in your past credit status.  Your ability to make reasonable monthly payments and your desire to be a homeowner are important to us. 


I Love The Home, What Is The Next Step? 

If you have seen the pictures on our website, you must then drive by the home.  If you want to see the inside, please call our office and we will schedule a time to get you in.  Then, all we need is your application, which will be provided to you at the time of your scheduled walk through .We will then contact you within 24-48 hours once we verify income and employment. Please keep in mind that our homes sell quickly so time is of the essence. 


Do I have to 'qualify' for this program and what are your Qualifications? 
Your credit and finances are not the restriction that they would be with a conventional mortgage company. Although it actually makes sense to buy a home right away if you could get conventional financing today, many of our buyers do have some issues that need some time to be resolved.

Here are our current qualifications:

  • Gross monthly income must be at least 3-4 times the rent

  • Must have at least 3% for the Option Consideration, unless otherwise specified in the ad

  • Need to be at least 1 year removed from a foreclosure

  • No evictions in the last 4 years

  • Must have good references from previous landlords & current employers

  • No prior criminal convictions of a violent or drug-related felony

  • Cannot owe money for child support




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