Rent-to-own homes seem almost perfect for those who are struggling financially and want to own their own homes. Unfortunately, this type of real estate transaction is not as tightly regulated as traditional purchases so the buyer needs to beware. To get a better idea of what to expect, read on.
How the Rent-to-own Deal Works
If you are not already a homeowner, you probably rent and you may have come across rent-to-own advertisements when looking for a new place.
When a homeowner is no longer able to pay the mortgage, it can be foreclosed on by the lender. The former occupants must vacate the home and the lender usually then lists the home on the marketplace. This type of listing can present those looking for a bargain with a wonderful opportunity – as long as they know what they are doing. Read on to find about some things to know about buying a foreclosed property.