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Old 11-07-2011, 12:28 PM
 
Location: 78250
952 posts, read 2,622,990 times
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How does the process work and which company did you go thru?
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Old 11-07-2011, 12:37 PM
 
Location: san antonio texas
1,803 posts, read 2,611,594 times
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Quote:
Originally Posted by jons_wifey View Post
How does the process work and which company did you go thru?
watching this thread, something im interested in as well.
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Old 11-07-2011, 01:20 PM
 
Location: 78250
952 posts, read 2,622,990 times
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Quote:
Originally Posted by DexterCat View Post
watching this thread, something im interested in as well.


I know they do this in UK with council flats, but not sure over here in U.S
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Old 11-07-2011, 01:32 PM
 
Location: San Antonio, Texas
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A few years ago an acquaintance of mine did a rent to own where the homeowner was the leinholder; after several thousands down and making payments, the REAL leinholder forclosed on the property and they had to move out.
I don't know what type of contract was drawn up, but most definitely if you do go this route perhaps have a realestate atty look over or draw a legal binding contract...
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Old 11-07-2011, 01:51 PM
 
Location: 78250
952 posts, read 2,622,990 times
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Quote:
Originally Posted by DexterCat View Post
watching this thread, something im interested in as well.
Quote:
Originally Posted by ggeorgie View Post
A few years ago an acquaintance of mine did a rent to own where the homeowner was the leinholder; after several thousands down and making payments, the REAL leinholder forclosed on the property and they had to move out.
I don't know what type of contract was drawn up, but most definitely if you do go this route perhaps have a realestate atty look over or draw a legal binding contract...
i agree with getting a real estate attorney involved, but wouldn't it be better as well to do a rent to own on a property already OWNED by the owner, as in the owner already has the title for the property?

i'm still a noob when it comes to real estate.
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Old 11-07-2011, 01:54 PM
 
Location: TX
4,054 posts, read 5,617,154 times
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ggeorgie, what you mentioned might be called a deed of trust. That's what we had on our place with paperwork for that beginning in the 90's. The original owners remained the named loanholders on the original loans and on county records and we made the payments through them. Just paid everything off recently. Feels good!
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Old 11-07-2011, 06:02 PM
 
431 posts, read 762,075 times
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my buddy has done it twice. loves them the renters put up huge money then usually walk away after 2-3 years
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Old 11-07-2011, 06:11 PM
 
4,145 posts, read 10,394,740 times
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Quote:
Originally Posted by theeddie View Post
my buddy has done it twice. loves them the renters put up huge money then usually walk away after 2-3 years
This is what happens most of the time. Renters often have big dreams that their financial situation will change in a few years and they'll be able to purchase, but it often doesn't and they lose the money. Investors love these deals. They get a down payment...rent....and then another down payment when the renter defaults.

The other thing that can happen is just like someone mentioned, you make the down payment and rent, but then the owner pockets all the money and gets foreclosed on. Then you're out on your tail.

They go through from time to time, but not often.
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Old 11-07-2011, 07:18 PM
 
Location: San Antonio
2,216 posts, read 4,523,785 times
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We did a rent to own in another state. For us it went thru nicely. We rented the house for a eyar to decide if we liked the area. Rented from a lady who had about 20 homes she owned and rented out. She did not require a down payment when we initially rented and only the two months rent as usual. A year later we were ready to buy, made a down payment and closed on the house. This would be the only way I would recommend doing it. I have heard horror stories too of people being taken for a ride....
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Old 11-07-2011, 07:31 PM
 
4,302 posts, read 7,174,834 times
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What about doing a lease, with an option to buy at a set price? Some or all of the monthly lease payment could be applied toward purchase of the property. If you decide not to buy at the end of your lease, you just walk away, with your monthly rent having all gone to the landlord, just like it would have if you had done a straight rental-only lease.

I've heard of this kind of arrangement, but haven't personally known anyone who has done it.
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