Renting to own a home in Portland, or any city for that matter, isn’t a new concept but the whole process of “renting to own a house” is one that most people have questions about. This article will walk you through what to look for if you’re looking for Portland rent to own houses.
1. Find The House You Want To Live In Long-Term
Although you’ll initially be renting this home, look at the house as a long term investment. Do not settle for a place to live like you would in a rental situation. Find a house that is one you’d love to live in for a longer period of time (no less than 5 years). Choose a house you’d be glad to live in for years just in case you do exercise the purchase option at the end of the lease term.
2. Terms That Fit Your Goals And Needs as A Portland Home Seeker
Not all rent to own houses in Portland have the same contract that goes with them. Make sure to find out the terms of the rental agreement and the terms of the purchase option. Usually the monthly rent tends to be a bit higher with a rent to own agreement vs. a normal rental agreement because you are basically paying a premium for the ability to potentially purchase that house at a pre-determined price in the future. There’s a lot of value in that.
With this type of agreement you should also have some flexibility that protects you. Make sure there are no fees for not exercising the purchase option at the end of the agreement.
Don’t forget to clarify with the owner of the house on who will pay for things during the rental term like…
- Lawn care
- Upgrades inside the house (new appliances, paint, etc.)
Get it all in writing who’s in charge of these kinds of things during the rental term.
3. The Value Of The Home – The Value Going Up?
One of the big benefits of a Portland rent to own home is the ability to lock in a home at a set price well in advance of you having to purchase it. With a rent to own house contract, you agree on a monthly rental rate, a term of that rental (usually 12-24 months), and a future purchase price.
Because of this the purchase price usually doesn’t come at a discount for you but, if you buy in a Portland OR neighborhood that is increasing in value, you could be earning instant equity if you decide to purchase the home at the end of your rental term.
See Our Current Portland Rent
To Own Homes Below!
If you still have questions about the rent to own process just call us at (503) 334-4150. If you want to be put on our local Portland Rent To Own Home List click the link below to see what’s available.