A number of people ask what if I don’t find the house that I’m looking for, or the type of dwelling that fits our needs? For prospective rent to buy customers they wonder “is rent to buy available in my area?” as there may be independent sellers in your region but sometimes they prefer a direct sale rather than getting into the whole rent to buy scheme. A good thing to take note off is that a majority of the rent to buy managed properties through out Australia have a wide variety that would fit virtually any buyer’s preference but then again for there would be instances (mostly area and region preference) that a buyer’s needs won’t be satisfied. Enter owner financing.
Vendor financing goes hand in hand with rent to buy as this is the actual concept behind it. Vendor financing is when the seller of the property agrees to offer the property through renting to the buyer by shouldering a part or the whole amount of the price (mortgage) of the house. It’s in these instances that an owner or seller needs to make a quick sale of the house or simply wants to sell the property quickly. Through owner financing, the seller gets a prospective buyer sooner and the buyer gets to move in sooner as well. It’s a win-win situation and closing is done in a quick and simple manner.
This type of sale is advantageous to both the owner and buyer in many ways than one. For the owner, once the property is offered as rent (with the eventual intention of buying) to the tenant, the owner receives income through the form of weekly rent, giving them a continuous flow of income. In the even that the prospective buyer defaults from paying repayments, the owner has the ability to re-possess the property because the legal rights to the property remains with the seller until the contract expires or until the buyer fully purchases the home.
For the part of the buyer on the other hand, they may ask or negotiate for a lower price on the property and even low repayments depending on their capacity to pay. A lower deposit is possible with owner financing giving buyers a plus and even minor furnishings to the property may be requested. (subjected to owners discretion). For buyers, this gives you the freedom to having your own home sooner, and making it yours through you repayments gradually. Who said owning your own home need be expensive?
All in all, if you’re among prospective renters wondering if rent to buy is available in your area, a good place to start searching is right here. Though your choices and options online are limitless, and you can actually ask through your local agent for any available rent to buy dwellings up for grabs. With rent to buy, you never have to rent again because now you own your home.