Lease To Own Vs. Mortgages

As a prospective homebuyer in the current market, you have several advantages and disadvantages before you. The good thing is the market has swung to the buyers side and there are many deals out there from motivated sellers. On the other hand, it has become very difficult for many people to obtain financing since banks have tightened up their lending criteria. If you don't have good credit, your chances of getting approved for a home loan is very slim. Fortunately, lease to own options offer a popular way for you to own a home without having to qualify for a bank loan now.

As you are probably aware, there are very few benefits of renting, other than the fact that you don't have some of the costs of owning such as property taxes or home repairs. Money spent on rent can never be recouped, and you'll never benefit from the accumulation of equity if you're just renting. While owning allows you to earn appreciation over time, how do you become a homeowner if you can't qualify for a loan right now?

With a lease to own, you get to experience many of the benefits of home ownership. Under a lease to own agreement, you put down a down payment instead of a security deposit. Unlike a security deposit, this money has investment value, as it's applied towards the equity in the home. The purchase price is locked in, so if the value of the home increases by the time the lease is up, you benefit by purchasing the home below market value.

Lease options are popular all over the Northwest, from Bremerton to Port Orchard and beyond. Lease to own options serve as a way for youth get a good deal on a home while giving you time to get your credit repaired enough to get a mortgage. It also gives you the flexibility to try before you buy, so you get the freedom of renting with the financial benefits that come with owning.

By: Mike Sumsky

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Washington Home Solutions is located in Port Orchard and offers lease opportunities to people who would like to own a home, but need time to get financing together and would like to explore lease to own opportunities. You can learn more at WAHomeSolutions.com.