Years ago...

A smart appliance store owner devised a crazy plan for moving his inventory at a time when the economy was in terrible shape. He knew his customers wanted and needed his merchandise. However, because of the economy his customers couldn't save enough money to purchase outright. So he began advertising TVs, washing machines, dryers, stoves, refrigerators as 'Rent-To-Own' $100 down with easy monthly payments for 12 months. With his unique approach his sales took off.

In real estate...

It's known as 'rent to own' 'lease with option to buy' or 'lease option'. Basically, they all have the same meaning. However, it's 'The Best Kept Secret in Real Estate' because there is no need to pay any commissions to middlemen and that's why it's been the best kept secret.

Here's how it works...

A Tenant/Buyer pays an up front nonrefundable option consideration to the Landlord/Seller. The Tenant/Buyer also makes monthly payments to the Landlord/Seller. Part of the monthly payment can be applied toward the purchase price known as a 'rent credit'. At the end of the option term the Tenant/Buyer has the right to exercise the option and purchase the house.

Here's why it works...

For Landlord/Sellers

• Top sale price (large available market of buyers at all times);
• Maintenance can be delegated (minimum management headaches);
• You remain on the deed (you retain tax shelter and tax advantages); and
• Cash flow – cash up front – cash every month – cash at closing.

For Tenant/Buyers

• Low down payment (minimum out of pocket cash requirements);
• Rent money and option consideration work for you (leverage);
• No conventional upfront loan application (time to repair your credit); and
• Time to obtain the best financing (and save for your down payment).

It's a win – win strategy because it works...

The Landlord/Seller wins by avoiding a financial hemorrhage. The Tenant/Buyer wins by living in the home of their dreams today and buying it tomorrow.

Learn More...