Buying a Home Under Rent To Own Terms

There are many benefits of buying a home under Rent to Buy terms. Buyers do not need to qualify for bank finance straight away, or even at all, to enter into their own home purchase. You can have spotty credit or even be bankrupt and still set yourself up in your own home purchase. No or very little deposit is required for many Rent to Buy deals, unlike what the banking system requires. With Rent to Buy systems, you can secure your own property purchase for as little as $10.00! The First Home Owners Grant is applicable (if you qualify), when purchasing property using Rent to Buy systems in Australia.

In some Rent to Buy deals, settlement is delayed therefore large costs such as Stamp Duty are delayed. In one of the Rent to Buy deals, the seller funds your deposit while you obtain a bank loan for the remainder (you will save on mortgage insurance premiums here, as you will be bringing at least 20% deposit to the table, funded by the seller). Time actually becomes the Rent to Buy buyer's friend, not enemy, allowing time to work for them on their side whilst they are secured into a home purchase while fixing up whatever is preventing them from obtaining a bank loan.

The lifted self esteem of having something that you are working towards owning brings much joy and happiness to a Rent to Buy buyer, especially when compared with renting and throwing dead rent money away on a landlords mortgage. It is good to know that whatever improvements and TLC that you spend/do on the property, it will be for your benefit later on down the track by the way of capital growth (resulting in equity). This capital growth, providing equity, is what works for the buyer during the term of the Rent to Buy deal, which enables the buyer to refinance out this equity and use it as their deposit for a bank loan.

There are many people who have an opinion about Rent to Buy deals. It is a wonderful feeling to implement what is not believed in by some, and have these out of the box systems work for you and your family to provide you a way of home ownership that the banking system would not provide for you. Most of the negative opinions are formed by people hearing about shady investors who prey on families and end up ripping them off. We too, can't stand these practices and share the "negative opinions" when it comes to shady investors.

Not only are there many benefits of purchasing a home using Rent to Buy systems, but there are also many different types of Rent to Buy deals available. This is good as this provides everyone with an opportunity to implement a property purchase, no matter what the banks say, no matter what your credit report says, no matter what your savings account either does, or does not have in it! Rent to Buy systems open the door of opportunity to anyone who is prepared to give them a go. Rent to Buy deals are not just for first home buyers, they are for everyone! Not every Rent to Buy deal will work for everyone, but we can guarantee that everyone will fit and suit at least one of them. There are many ways to set these deals up and to make them work for you.

Below we have documented what type of Rent to Buy deal suits what type of home buyer.

A Lease with the Option to Purchase suits: people with no or very little deposit saved, people with spotty credit or who are bankrupt, new immigrants to Australia, people who are self employed but not for long enough to meet the banks criteria, people who have purchased a home before but do not have the available funds to cover stamp duty, people whose income comes from a pension or government payments.

A Wrap suits: First home buyers, people with small to major credit issues preventing them from obtaining bank finance,  people with good credit but not enough deposit saved to obtain a bank loan, new immigrants to Australia, people who are self employed but not for long enough to meet the banks criteria.

A License to Occupy suits: people who have either no or very little deposit saved, people with small to major credit issues preventing them from obtaining a bank loan, new immigrants to Australia, people who are self employed but not for long enough to meet the banks criteria, people who have purchased a home before but do not have the funds available to fund stamp duty. 

Seller Funding the Buyer's Deposit suits: people with good credit but who have either no or not enough deposit saved to apply for a bank loan on their own, or people who can qualify for a bank loan other than having no or not enough deposit saved.

Tenants in Common suits: people who cannot afford to service a monthly mortgage on their own, people who do not have the ability to borrow enough money to buy a home on their own, people who are not prepared to live mortgaged to the max with the high debt that often a mortgage brings, people who are open minded enough to see the opportunity to work together in a group situation to purchase a home, people with poor credit, new immigrants to Australia, people with no or not enough deposit saved.

All of the above Rent to Buy type deals  are opportunities that are available and regularly practiced in Australia, providing home ownership to many who do not qualify for banking finance (at the moment). Believing that this can be done is half the battle to taking action and accomplishing your own Rent to Buy deal.

We want to make these deals as simple and easy to understand as possible, so many, many people can take these opportunities and find the satisfying rewards of home ownership. All of these Rent to Buy deal types have been implemented many times before right here in Australia - there are Australian families who are actually right now living these words that are on your computer screen!

Our DIY Rent to Buy manual covers all these Rent to Buy deal types in full, in easy to understand English. We have included our step by step processes to enable you to put in place the Rent to Buy deal that suits you and your circumstances. No longer does any Australian need to remain in the rental trap.