Are you tired of paying rent payments into someone else’s pocket? Have you been dreaming of owning your own home?
Is a past consumer proposal or bankruptcy holding you back from getting a mortgage?
Maybe you don’t have a high enough downpayment, or just got divorced. Or you might be new to Canada or self-employed and having difficulty qualifying for a mortgage.
Qualifying for a mortgage under today’s rules is harder than ever. For this reason, you may be interested in an alternative that will allow you to get into your desired home NOW rather than having to wait for several years until you might qualify for a mortgage. A rent-to-own program may be your answer.
So how does it work? In general terms, a rent to own contract consists of two agreements that run at the same time. The first is a lease that you sign on the property. The second is the purchase agreement, which sets out the purchase price that you agree to pay for the house in the future. Once it has been determined how much you qualify for you get to shop for the property you want!
Most rent-to-own programs run between 2 and 5 years. An initial deposit of about 3% and reasonable income are needed to get into a rent-to-own program. Every month you pay a rent-to-own payment that includes a savings component. These savings will be credited to the downpayment for your future home purchase. When you apply for a mortgage at the end of the term, you will have a significant deposit against the future purchase price.
A rent-to-own program offers you many benefits: you get to move into your dream house today even though you do not qualify for a mortgage. Our credit experts will assist you in repairing your credit over the course of the RTO program. While already living in your desired property you now have several years to fix your credit and save up for the downpayment. And when you are ready to get the mortgage for your own house and become a homeowner you don’t even have to move again!
For more information and to see if you qualify, please fill out the form below.