Selling your house in South Bend with a rent to own agreement can be the best way to sell fast for the price you want. Learn more about how to do it in our latest post!
When thinking about selling a house in South Bend, many people don’t consider using a rent to own agreement to facilitate the deal. If you are able to delay receiving the full amount of the home, you will likely be able to find a buyer much sooner, while collecting the price you want for the home. In addition, using a rent to own agreement will provide you with cash from a downpayment upfront in addition to a higher than average rent payment each month. You will be able to make money while collecting the full price for the home in 1-2 years. Selling in this manner can be very beneficial for homeowners who want to sell their houses fast and for a great price.
Set Your Criteria
While opening your house to rent to own buyers, you’ll be giving a whole new pool of people the opportunity to buy your house. That said, you can’t enter into an agreement with just anyone. You’ll need to determine what you will accept as far as credit score, downpayment amount, and length of the agreement.
You are not entering into an agreement with your potential buyer indefinitely until they are able to buy outright. Instead, you need to work with a potential buyer who will be able to follow through on their end of the deal. Even if they have the best intentions, being able to actually follow through on the agreement is a different story. Before setting up a rent to own agreement for selling your house in South Bend, make sure you know what you will accept and what you are looking for in a potential buyer.
Agree On The Terms
Finding a tenant to agree on the terms of a rent-to-own agreement can be difficult, but it’s important to remember that both parties need to be happy with the arrangement. You’ll need to come to an agreement on the monthly rent payment, downpayment amount, and how much of the rent goes toward the purchase of the home. You’ll also need to set a timeframe for when the renter must purchase the home outright or walk away. This isn’t an indefinite agreement – within 1-3 years, the renter needs to buy the home or lose their downpayment and option to buy in the process. By agreeing on these terms upfront, both you and your tenant can avoid any misunderstandings down the road.
Create A Legal Contract
When using a rent to own agreement for selling your house in South Bend, it is crucial that everything is set up legally. You don’t want to be hit with a lawsuit or find yourself in a place where you need to file one yourself. A rent to own agreement will be detailed, covering every scenario possible as to protect all parties. NK Developments LLC can help you facilitate the process, of selling your house via a rent to own agreement, making sure everything is handled legally and professionally.
Having A Way Out
Just like a rental situation, in a rent to own agreement, you are able to evict the tenant if they aren’t paying rent or if they have violated the agreement in any sort of way. While you don’t want it to ever come to this, you should be versed in the eviction process, knowing what your rights and what the tenant’s rights are. The house is technically yours until it has been paid for in full. Until that day, you need to protect it, making sure nobody is occupying the property that will cause damage or lower the property value.