What is the difference (in housing) from rent-to-own and/or lease with option to buy or any other similar way to buy a house?
Basically, I need some real estate information (in USA.)
I would like to rent a house with an option to buy it at the end of the lease agreement. I am not sure what the technical term for that is. What are the different ways to buy a house as you rent it? (I am not sure.)
Now, let’s say I find a house for 100K in today’s market (okay, so Iet’s pretend I’m buying in Wasilla, Alaska, not Seattle.) When you agree at the beginning of the lease, can you also negotiate a price? Can you negotiate the length of the lease?
For example, say, “It’s right next to the Wasilla McDonald’s and I think that glowing M is going to keep me up all night…so I will offer you 87K for the house.” Or is this not kosher? (I suppose anything is negotiable.)
What I don’t want is to have the price of the house hiked during the lease…and I also want the option not to purchase ( for example, if the traffic next to McDonald’s is unbearable, or an earthquake hits Wasilla, or the papparazzi descend because Palin is running on a third party ticket.)
Can someone explain the pros and cons of purchases like this? Do banks do this? Where would be the best place to find properties like these? I keep seeing empty houses (some that have been empty for a year or more…I’ve been watching) and I just feel that maybe these might be open to this sort of arrangement. Is it okay to ask a realtor if the buyer would be open to a rental/purchase? (Or whatever it ‘s called.)
I am asking this question because there is one arrangement of rental/purchase that is not as smart as another…I hope someone out there can enlighten me on the different ways to purchase in this fashion. (I’m talking about US properties.)
Thanks so much!
P.S. I am NOT buying in Wasilla…I promise.
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