Even if you don’t qualify for a conventional mortgage now, you may qualify for our lease option program.

We understand good people can have temporary credit problems, such as:

• New at your present job
• Self employed for less than 2 years
• Loss of income
• Substantial medical bills
• Divorce

If your credit issues have made a turn for the better, lease option may be right for you.

Advantages to Lease Option

Entering a lease option contract allows you and you family to live in your future home while working to become eligible for a mortgage; Your children are established in the school system and your family becomes part of the community.

Advantages to our Lease Option Program

You’ll have between 12 to 36 months to exercise your option to purchase the home. Your purchase price will be set at today’s value when you enter into your lease option contract.  Other programs may require the price to be determined when you are ready to purchase the home, usually at a higher price. During the lease portion of your contract, your lease payment will be determined by local market rates, not some inflated rate.

How it Works

When you enter into a lease option contract, you are leasing a home with the option, but not the requirement, to purchase the home at a later date.  As the name implies, there are 2 parts to a lease option; Lease & Option.

Lease You sign a standard residential lease agreement.  This agreement has all the standard verbiage you would expect when you lease a home, e.g., pay the rent on time, don’t damage the property, don’t engage in illegal activity, etc...

Option The option part is a separate legal document and stands apart from the lease.  By signing the option agreement and paying an option fee, you have the option to purchase the property at anytime during the option period.

Important Details

The option money and any accrued rent credits are non-refundable.  As much as we want you as a client, please DO NOT enter into a lease option agreement if you are not relatively sure you want to purchase the home.  Unlike other lease option programs, WE WANT YOU TO PURCHASE THE HOME.  If you have any doubts or questions about this or any other portion of our lease option program, please ask us before you sign anything!

The lease and option agreements are not assignable.  Once again, if you are not relatively sure you will be able or willing to purchase the home, please DO NOT enter into this lease option program.

Disclaimer:  The above descriptions and important details are meant to be layperson’s overview of our lease option program and do not encompass all terms of the residential lease and/or option to purchase agreement(s).  Please review all documents carefully before signing them.

FAQs

Is a Lease Option the same as a Lease Purchase?

No.  A lease option gives you the right but not the obligation to purchase the property.  A lease purchase is a lease with an obligation to purchase the property at a later date.  We only offer lease options, giving you the option without the obligation to purchase.

How do I qualify for your program?

There are basically two main qualifications.  First is your ability to lease the home.  In order to qualify for the lease portion of the agreement, we will check such things as your income, debts, employment history, credit, and rental history. 

In this phase, we are looking for the same things that any landlord looks for; Can you afford the lease payments? Do you regularly pay your rent on time? Have you ever damaged a rental property? Have you ever been evicted or dispossessed? etc. 

Next, we will check to see if you will have ability to purchase the home at a later date.  We present your credit report and application to a mortgage lender and ask them to tell us what it will take to make you a viable mortgage candidate within the lease option period.  We then pass this information on to you so you may begin the process of improving your credit to the point where you can qualify for a mortgage (if necessary).

Disclaimer:  We will pass the information to you from our mortgage person as reference only.  This information is not intended to be a guarantee of qualifying for a mortgage with this lender.  We are not mortgage lenders and do not have an affiliation with any mortgage lender.  We strongly encourage you to independently verify the information we share with you with your own mortgage lender.

How much money will it cost me to move in?

The first month’s rent, security deposit, and option payment are all due before you move in.  This must be in the form of a certified check or money order.

What happens to this money?

If you exercise your option to purchase the home, the security deposit, option money, and accrued rent credits will all be credited toward your down payment.  If you do not exercise your option to purchase, the option money and rent credits will be forfeited to the owner.  The security deposit will be refunded, less any damage to the property above normal wear and tear.

How long do I have to purchase the home?

Our option periods range from 12 to 36 months depending on your financial circumstances.  This will be spelled out in your lease option agreement.