A lease-to-own agreement is an agreement in which you lease a property for a specific amount of time, with the option to purchase the property before the lease ends. While typical lease agreements have terms for how long you’ll lease the property, lease-to-own agreements differ in the end option to buy the property, rather than simply renew your lease for an additional period. The DiMora Team are real estate experts in the Northville and Novi neighborhoods and we know that since lease agreements mean monthly rent payments are due, it’s important to know how these funds are used in a lease-to-own agreement. In this type of agreement, monthly rent payments create the path to allowing the renter to purchase it. Typically, the landlord sets the monthly rent payment amount higher than comparable rent-only properties. Check out below to see what sold in Stonewater in September 2024:
17712 Parkshore Drive, Northville: 4 bedrooms, 4.1 bathrooms, 3,548 sq. feet, 3 car garage, Sold Price: $980,000
Stonewater Home Sold
September 2024
The landlord can then either hold these funds for escrow, refunding them to the tenant upon the purchase of the property. Alternatively, they can apply a portion of the rent payments towards the mortgage principal for the property. In turn, the time the renter leases the property allows them to build equity in the property through their payments. For more information on Stonewater, contact The DiMora Team today at 248-505-7728 or jim@dimora.com