Rent to Own - easy home ownership.

Rent to Own is by far the easiest program to qualify for. Like the name implies you will be renting/leasing the home at first. Later this lease will convert to ownership. There are many variations of rent to own program. Rent to own can mean lease purchase, lease option, lease to buy, rent to buy, rent option, etc.

Lease option variation is probably the easiest to explain. There are two agreements in case of a lease option: the lease and the option.

Lease agreement gives you the possession of the home and is usually for a term of 1 year and outlines the monthly payments and other terms.

Option is an exclusive option to purchase real property - a document giving you exclusive right to buy the home you are leasing. Option must have a term - for how long you are given the exclusive right to buy this home. Option must also have the price - a set price for the term of the option at which you will be buying this home. For the option agreement to be valid there must be a "monetary consideration", which is just a fancy word that attorneys use for an option fee.

So in simple English, you are leasing the home and have exclusive right to buy this home. The option fee that you pay to get this option will go as a down payment when you will buy this home (exercise this option). The great thing about rent to own is that you have a right to buy the home, but you are not obligated to.

Rent to own program gives you couple benefits. You can check out the neighborhood, schools and your neighbors, without buying the house. You get plenty of time to get your credit and finances in order to prepare to buy the home you are living in.