In our shifting economy, it takes a great deal of courage to own a home due to the yearly raises in prices and steady income. Losing a home to foreclosure can easily take a toll on one’s confidence, especially if a person was close to paying it off. Unfortunate events such as this can be difficult to re-attempt because of the possible changes the economy can do to one’s lifestyle. With the economy picking up, bringing forth collective home prices and interest rates at pleasing levels, potential boomerang buyers have several options they can take to get back into home ownership. With the current real estate market providing various opportunities to attain a home, it is best to take advantage of these opportunities to get back on track. There are various actions to consider in getting back into home ownership. One of these possible actionsis “rent to own.” For past well-to-do homeowners who have lost their way, rent to own can be beneficial in several ways. Paying off debts and having a clean credit is essential in today’s society to show if one is trustworthy.
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This increases one’s odds of getting approved for loans and good interest rates.For potential boomerang buyers, time isa necessity to fixing up their credit. Time will enhance one’s chance to gain credibility that will outweigh a previous loss. Rent to own gives one the option to lease a home for one to three years in exchange for monthly payments, with the option to purchase at some point during the agreement.This not only provides time to fix credit, but also gives potential buyers time to see how the economy progresses. Potential boomerang buyers will be more careful since they’ve experienced a great loss, so time will add some relief for them which rent to own will provide instead of going “all in” on another mortgage. Rent to own is also beneficial because onedoes not need to pay a full down payment up front. Buyers will have the option of paying portions of the down paymentover the course of the lease. This makes it easier on the buyer, because they may not have enough cash saved to pay a full down payment. Potential boomerang buyers may still be recovering from their losses and this will set less pressure on them, especially if they are trying to clean their credit by paying off credit cards or late payments. This is a great reassurance for them to see their potential in keeping up with monthly bills, gas, food, and any other necessities. This is important for potential boomerang buyers because they may have a few worries or doubts in maintaining and fulfilling certain tasks. Another beneficial factor with rent to own is that one can compromise and settle on …show more content…
Most sellers of rent to own homes revert to rent to own because their property wasn’t selling as hoped. The sooner a buyer negotiates with a seller when the economy is starting to pick up can give buyers a better chance at getting a good bargain and sellers to make a profit out of their property. Since home prices rise over the years, it’s great to take advantage of rent to own and settle on a reasonable price before one has to haggle for the best bargain with a higher price. This is important for potential boomerang buyers because they may be able to snag a better deal than their previous home, which will promote more confidence to purchase a home
This increases one’s odds of getting approved for loans and good interest rates.For potential boomerang buyers, time isa necessity to fixing up their credit. Time will enhance one’s chance to gain credibility that will outweigh a previous loss. Rent to own gives one the option to lease a home for one to three years in exchange for monthly payments, with the option to purchase at some point during the agreement.This not only provides time to fix credit, but also gives potential buyers time to see how the economy progresses. Potential boomerang buyers will be more careful since they’ve experienced a great loss, so time will add some relief for them which rent to own will provide instead of going “all in” on another mortgage. Rent to own is also beneficial because onedoes not need to pay a full down payment up front. Buyers will have the option of paying portions of the down paymentover the course of the lease. This makes it easier on the buyer, because they may not have enough cash saved to pay a full down payment. Potential boomerang buyers may still be recovering from their losses and this will set less pressure on them, especially if they are trying to clean their credit by paying off credit cards or late payments. This is a great reassurance for them to see their potential in keeping up with monthly bills, gas, food, and any other necessities. This is important for potential boomerang buyers because they may have a few worries or doubts in maintaining and fulfilling certain tasks. Another beneficial factor with rent to own is that one can compromise and settle on …show more content…
Most sellers of rent to own homes revert to rent to own because their property wasn’t selling as hoped. The sooner a buyer negotiates with a seller when the economy is starting to pick up can give buyers a better chance at getting a good bargain and sellers to make a profit out of their property. Since home prices rise over the years, it’s great to take advantage of rent to own and settle on a reasonable price before one has to haggle for the best bargain with a higher price. This is important for potential boomerang buyers because they may be able to snag a better deal than their previous home, which will promote more confidence to purchase a home