Lease purchase
From Real Estate
A lease purchase assists homebuyers in their quest to purchase a home by allowing them to lease a home with the later option to buy. The rent payment is made up of the monthly rental payment plus an additional amount that is credited to an account for use as a down payment.
The Advantages to the Seller are numerous.
No real estate commission to pay (not realtors).
No maintenance problems.
Prompt payment of rent.
All the terms of the purchase are negotiated in advance.
Seller retains all tax benefits until the sale and much more.
Positive monthly cash flow to offset losses
For the Buyer
Time to shop around for best financing options
Live in the house before you buy it
Meet the neighbors and neighborhood before making long term decision
Large rent credits (25-100%) for prompt payment
You can get more information at www.iLease-a-House.com. They cater to buyers, sellers, and investors.
This article is part of the Real Estate Wiki's glossary. To see the entire glossary, click here.
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