People have different reasons owing to which they avoid owning homes. Having less than stellar credit loans contribute to being a reason why a house for lease is a better option instead of purchasing a new home. Owing to this, they procure limited access to different mortgage plans. Plans with heavy interest rates can be availed in such cases. People who are capable of acquiring financing come with limited cash flows. This prevents to come with a considerable down-payment amount for purchasing homes. There are people who have high paying jobs. However, owing to the status of new immigrants, they are prevented from opting for homeowner opportunities. A wide variety of reasons may thereby prevent people to purchase homes. The lease to own options contribute to being the best option for those people who fail to meet the eligibility criteria for owning a home:
There are several benefits of a house for lease in Canada owing to which they have become the prime choice of people in the present days. The benefits are mentioned below:
Gain access to home ownership options
As you opt for a house for lease option, you will gain access to the different home ownership opportunities. As the name suggests, the lease to buy option begins as a lease agreement between the house owner and you. In lieu of renting out the house, you are offered a chance to purchase it post to the expiry of a lease agreement. This is translated into instant ownership for the home as you are recognized to be the owner of the home from the every day you have moved in. You have the rights to change anything about the home. The lease option provides you opportunities to make modifications or improvements in the home without worrying about the landlord.
Pay an affordable amount of money
As you opt for lease option, you need to pay an affordable amount. If you go for buying the property, you need to pay 5% of the property for covering realtor shares, lender fees along with equity options. However, as you go for lease, you just require paying the option deposit amount which is mostly twice of what need to pay before closing home rental deals. The amount will be deducted from the entire price of the property in case you finally decide to buy the property.
Avail the chance to buy
There are a number of reasons which have an effect on the decision to purchase a home. For instance, if you believe that your home is going to lose the value in future, you may consider not to purchase it. At times, during the span of a home lease, you may feel that the neighborhood is not a place where you want to raise your kids. At times, the locality may be subjected to a considerable number of crimes which prevent you from investing in buying the home. If you are willing to abort the offer, you will be losing the option deposit which happens to be a fairly low investment if you take the homeownership opportunities you are accessible to into account.
There are several other benefits owing to which people prefer to go for the lease option from a reputable seller as you consider it from the legal point of view. You will be rendered protection against evictions. There are home sellers who just take the monthly lease payments and do not take the prerequisite care of current dues like insurance coverage, real estate tax, mortgage, etc. As you opt for a reputable seller, you will find that all the dues are included in the monthly payment. Thus, you do not need to worry about eviction notice from the lender or paying the dues every time. As you opt for home purchase from a reputable seller, you will be assured that there will be no unknown transfers even when the lease agreement is into complete effect. Hence, you do not worry about losing the home in spite of paying religiously.With a wide array of lease benefits, people in these days opt for the lease to own option boldly. With the aid of this option, you do not need to put the dream of owning a home on hold.