Is rent to own the same as lease purchase?

We get this question quite often. Truth is the rent to own concept is known by many different names. The reason for this is geographic in nature. In Texas lease purchase is more common then rent to own as it is known in Ohio, but this is a very broad generalization.

Let's look at all the phrases that essentially mean the same thing as rent to own -lease purchase, lease option, lease to own, owner financing, lease to buy, option to buy, lease with option, lease option to buy, rent option to buy, and land contract.

If you have any questions about this post your comments here.

Welcome to the Wonderful World of Rent-to-Own Real Estate.

Rent-to-own real estate is nothing new. Since Roman times buyers and sellers have entered into owner-financed realty agreements. What is new is the numbers of participants. Why? The recent economic conditions that have depressed real estate values has also drastically reduced mortgage loan approvals. So does that translate into no customers?

There is no shortage of buyers and sellers in any economy. For every owner of real estate at some point becomes a seller. And for every tenant making someone's mortgage payment is a motivated buyer. If only the two parties can connect and strike a deal then something happens -the for sale by owner (or Realtor, agent) becomes the de facto lender. Everybody wins. Or do they?

Real estate is witches brew with complex with rules, regulations, zoning, inspections, legal issues and so forth. Throw rto in the cauldron and let's have a party. What is rent-to-own? How does it work (or not work)? How is a contract structured?

There are many question that buyers and sellers will ask one another before signing on the dotted line. With that in mind the purpose of this blog is to attempt to keep it simple, and real. Real strories of real deals. It is all about the 'Beauty and the Beast' of rent-to-own realty.

Enjoy. Participate. Spread the word.