KJ Premier’s Chicagoland Real Estate Blog

I wanted to update you with what’s been going on in our Real Estate world.  Over the last week, we’ve had a flurry of activity, and it’s been with those listings that are listed as both for sale and rent.  We don’t typically do many rentals, but over the last several months with lending becoming tighter, the Rent to Own option is becoming a more popular trend.

Benefits for the Seller:

1.  It alleviates some of the burden of the monthly payment.  In many cases it may pay for a portion (probably not all) of an owners monthly costs, and frees up some of the monthly debt service.

2.  It allows those sellers who have already moved on, relocated, etc., to have warm bodies in the home, tending to basic needs of the home such as keeping the heat on, not letting the pipes freeze, having the yard maintained, etc.

3.  It secures a potential buyer for a specified period of time (with no guarantee) but allowing the seller to keep a sizable payment should the renters opt not to buy.

Benefits to the renter/buyer:

1.  It allows the renter to escrow a portion of their rent payment to be used as a down payment/credit at closing.  This way, all the rent money is not being thrown away.

2.  You are able to lock a low purchase price in today as opposed to waiting until prices rebound and climb again.

3.  Once you’ve moved in, you don’t have to move out.  If you exercise the right to buy, you recieve a portion of your monthly payments back, as well as not having to incur the costs of moving all over again!

These are just a few of the benefits of structuring a deal as a Rent to Own.  Each deal can be structure based on the needs and situations of the parties involved.  You obviously need an educated Real Estate broker, as well as a good attorney.  If you have questions regarding a Rent to Own, or would like help with exploring this real estate alternative, contact us at kjpremier@atproperties.com.

For Rentals of properties in Lexington, KY, contact Ann Wesley, property and rental manager for Premier Rentals and Property Management-as well as for vacation rentals in Coastal North Carolina (near Camp Sea Gull, a famous sailing camp, and Oriental, NC, a sailing village on the Inner Banks of NC) and for SE Florida in Palm Beach and Ft.Lauderdale.  Ann’s rental number is  859-229-6358   www.premierrentalsandpropertymanagement.com or  www.waterfrontpropertyrentals.com .