Lease Purchase - Buy a Home in Installments

Today, when the whole world is facing an economicbreach of contract which can incur penalties.
crisis, home loans have become very difficult toElements of Lease Purchase Agreement
acquire. Banks have realized that with decreasingA lease purchase agreement typically has the
income and increasing prices, mortgage installmentsfollowing information in it:
may not be paid in time, eventually leading to· Names of the buyer and seller
foreclosures. They are very cautious in lending money· Full addresses of the buyer and seller
for financing house purchase. A lot of people find it· Date of agreement
hard to obtain money for buying their dream homes.· Description of property
For them, it has become the ultimate option. This· Lease period
method of real estate transaction has become very· Rent
popular these days. With lease purchase, a person can· Date on which rent is to be paid every month
own a house by paying monthly installments to the· Late payment penalties
owner in the form of rent. The greatest benefit of this· Particulars of property inspection by buyer
method is that the buyer can live in the house that he· Particulars of property inspection by seller during
intends to buy. This process is made possible with thelease period
support of the agreement.· Property maintenance instructions
A lease purchase agreement is basically a contract· The proposed date of purchase
between the seller and the buyer of a house by which· Final price of property
the latter agrees to pay a monthly rent to the former· Penalties for breach of contract
and buy the house after an agreed upon time period.· Final amount of purchase at the end of lease period
There is no heavy down payment; usually it is 3% of· Mode of payment
the total price of the house. Another advantage is the· Signatures of the buyer and seller
seller cannot change the price of the house accordingMore information can be provided according to the
to market fluctuations. The amount mentioned in theinterests of the parties concerned. These details are
agreement is the final price of the property.written in a legal form approved by the local and
There are two aspects to buying a house like this. Youfederal laws.
can either sign an agreement or a lease option. WhenIf y
you sign a lease purchase agreement, you are boundNow Pay Close Attention --
to buy the house at the end of the lease period for aDo you have an Ugly house you want to sell? On the
price stated in the contract. However, with a leasenext page you will find someone who will put cash into
option, there is no obligation to buy the house after theyour pocket for that broken down wreck of a house.
termination of the lease period. If the buyer is not sure==> I Pay Cash For Broken Down Ugly Houses
if he can arrange finance for buying the house afterNationwide
the mentioned period, it would be better to opt forSo if you own a broken down house you can sell it to
lease option. Because, if you enter into an agreementPayton Lowe for cash. I strongly sudgest you contact
and fails to buy the house at the end, it could be aPayton Lowe on the next page before it's too late.