HomeRun Homes Rent to Own Homes Blog

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HomeRun Homes is a centralized marketplace which helps people Find or Sell a Rent to Own Home, both Nationwide and Globally to the thriving Rent to Own Market. http://www.lease2buy.com
Showing posts with label seller. Show all posts
Showing posts with label seller. Show all posts

November 21, 2012

Crucial Parts of a Rent to Own Deal

Hi Folks,
   Thanksgiving week is upon us as quickly as I think I've ever experienced it before. Does anyone else feel the same way?

   "Rent to Own Homes" are an excellent vehicle for both buyers and sellers, however, some folks throw around those 4 words in a haphazard manner with no thought behind it. When that happens, it opens the door to bad things, and some bad folks trying to profit on the backs of innocent people.

   With our 10-year anniversary celebration ongoing, by now, you should be fully convinced that we take the phrase, "Rent to Own Homes", quite seriously, and we cannot stress enough just how important it is to sort out  all of the facts and responsibilities of all parties, just as in any other business contract.

   There are certain things that the Seller/Homeowner must do, as well as certain things that the Prospective Tenant/Buyer must do, but most importantly, these things must be coordinated between both of the parties. Ignoring these things are the sure sign of legal repercussions down the road, for both parties.

   In an aptly-named article, "Questions to consider if looking to rent-to-own", Joanna Jackson, a sales manager/associate broker with Jackson Realty, wrote up a concise breakdown of these specific items.

   Basically, as you might imagine, these run the gammut between Who fixes the toilet bowl, who pays for the handyman, if needed, and plenty of "What If?" scenarios.

   Jackson list the following items the seller will need to consider; Who will tend to the property, pay for routine maintenance, and pay for major repairs? Will you be managing the property, and if not, will you hire a real estate agent (and what are the costs of those two routes)? How much does it cost to set up and manage an escrow account for the portion of rent allotted to the down payment? What if the renters bail on you? Who keeps the money in the escrow account? If the buyers change their minds, what will be required to put the property back on the market for sale?

   Jackson also lists some of the items that need to be thought out by the buyers; How much, if any, of the rent is going to the down payment? What if you change your mind (How locked in are you if you change your mind?), What will it cost you to get out of the deal, if needed?, How long will it take to accumulate enough of a down payment to help you towards qualifying for a mortgage?, Who is responsible for paying the property taxes (and other local taxes) and insurance on the property?

   These are all very open-ended questions with no Right or Wrong answer, however, there are certain local "traditions" or procedures that vary from state to state and sometimes even county to county. I fully concur with Jackson, who states that when "considering a rent-to-own deal, seek legal advice from a real estate attorney". I go one step further and suggest an attorney that is local to the property, and thus, the local laws.

   Although these above-mentioned items can seem a thorn in your side, remember one thing; these are what make a Rent to Own Deal an actual "Rent to Own Deal", vs. a shady open-ended agreement with many gray areas, which can stop you from selling your home, or, can stop you from obtaining your dream home. Nail it down the first time so everyone walks away happy!

   Have you had any good or bad experiences with a Rent to Own deal? We'd love to hear which of these suggestions came into play during the process.

   From your team at HomeRun Homes, we wish you a safe and enjoyable Thanksgiving Holiday!

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Have a Great Weekend, and Happy Rent-to-Owning !
Regards,
Rob Eisenstein
HomeRun Homes - Rent to Own Homes, since 2002
"Located at the Corner of Technology and Real Estate"
Rent to Own Homes and Real Estate Blog for HomeRun Homes: http://blogging.lease2buy.com
HomeRun Homes Websites: http://www.lease2buy.com and http://www.homerunhomes.com


TAGS: #RenttoOwn #Homes #buyer #seller #contract #homeowner #tenant #property #maintenance #repairs #escrow #rent #sale #downpayment #qualify #mortgage #propertytax #realestate #attorney

June 5, 2011

Selling a Home via Rent to Own

Hi Folks,

   Glad to welcome you back.

   We have some great topics ahead this week, and since we are headed into the summer, we wanted to make you aware once again of the invitation that we extended back in early April.

   In the interest of making this a "Non" Sales Pitch offer, I do recognize the fact that it can be taken by many as a sales pitch. On the flip side, if you read this carefully, you'll see that it is not (and is actually pretty cool!).

   Occasionally, we have more Buyers than Sellers of Rent to Own Homes placing Ads, and that creates a gap in favor of one type of Ad vs. another type of Ad. That being said, we currently have a temporarily disproportionate amount of Homes Wanted Ads (Buyers) vs Homes Available Ads (Sellers), and we would like to close that gap.

   In order to do so, we are extending to you, the readers of this Blog, an opportunity to list your Rent to Own Home for a period of 3-Months, at no charge (normally $16.99 for 3-Months). No entering credit card info, no payments...just listing your home. I'm going to run this offer through the end of June, or once the gap is closed...whichever comes first.

How Do You Get your Free 3-Month Ad listing your Home?

STEP 1:
Send an E-mail to me at homebuyer@lease2buy.com with the Subject; "BLOG - MY HOME FOR RENT TO OWN"

STEP 2:
We'll set up a Username and Password for you so you can log in, create your Ad, upload photos, etc.


So, To Recap...

The benefit for you - a free Ad listing your home.
The benefit for me - closing the gap between types of Ads as mentioned above.

I look forward to receiving your E-mails and seeing your homes on our website,

Have a Great Week, and Happy Rent-to-Owning !
Regards,
Rob Eisenstein
HomeRun Homes Blog http://blogging.lease2buy.com
HomeRun Homes Website http://www.lease2buy.com

April 1, 2011

An Offer for Those Selling a Home via Rent to Own

Hi All,
   Happy April Fool's Day. What we are going to discuss today is not a joke, and there is no fooling.

   We want to make this Blog Post as non-pitchy and "non-salesy" as possible, since I feel that the following can certainly be construed as sales-pitch material by most, however, if you read it thoroughly, you will see that it is certainly not.

   As most of you know, our business consists of buyers, sellers, and service providers listing their homes, requests for a home, or their services, on our website, for a highly-competitive price (which pales in comparison to the volume of people that see their Ad and the quality/qualifications of these visitors.

   We have very recently experienced perhaps a temporarily disproportionate amount of Ads from Buyers ("Homes Wanted") vs Ads from Sellers ("Homes Available"), and we are looking to close this gap. In order to beef up our inventory of Homes/Sellers, we are offering free 3-Month Ads to anyone looking to Rent to Own/LeaseOption/Lease Purchase their home (or homes, if you have more than one).

   We are looking to run this for a little while, until we close the gap. I'm trying to be as honest and up-front about this, and if you like our website, then tell a friend (we like that!).

   I made the Two-Step process pretty simple, and if you want to list your Home for free with no strings attached (except a referral, perhaps?), here is what you need to do:

STEP 1:
E-mail us at homebuyer@lease2buy.com and use the Subject Line "BLOG - MY HOME FOR RENT TO OWN"

STEP 2:
Next, we will reply to you with a Username and Password - and then you can log in and create your Ad, upload photos, etc.

   We are trying to make it as simple as possible for you. I look forward to seeing your homes on our website, and we appreciate your time.

Have a Great Weekend, and Happy Rent-to-Owning !
Regards,
Rob Eisenstein
HomeRun Homes Blog http://blogging.lease2buy.com
HomeRun Homes Website http://www.lease2buy.com

November 19, 2010

Real Estate Contracts from a Legal Perspective

Hi Folks,

   Friday is upon us, and most of the leaves have already fallen here in the Northeast. The trees are bare, and this can only mean one thing - bare trees. OK, so the secret is out - I'm not a comedian.

   One thing that is not a laughing matter in Real Estate are the contracts that are used for the different flavors of deals. Today, we are going to take a look at these contracts from the perspective of Rent to Own, with input from Attorneys from 3 States; Florida, Ohio, and Texas. We will preface this with the caveat that this is not legal advice, we are not attorneys, and thus the title word, "perspective", and not guidance.

   In the State of Florida, which is always a hotbed for deals, we spoke with Charles P. Castellon, an Attorney and Counselor at Law in Florida. Castellon tells us that it is important to realize that, "The applicable protections depend on whether you’re entering the deal as seller or buyer.", and he says that from the seller's side, especially in Florida, that, "it’s helpful to draft 2 separate agreements — a residential lease and option agreement.", as, "the rationale is the buyer/option holder could more easily force the owner to file a foreclosure action rather than a simple eviction if both sides of the deal are integrated in one agreement." Castellon continues to say that, "In the latter situation, a court could deem the buyer to have equitable rights giving the buyer/tenant the same rights as a mortgage borrower, thus requiring a more costly and complex foreclosure rather than a relatively simple eviction." From what I personally understand, if a rent credit is being applied to the down payment each month, the tenant is building up equity.

   Castellon says that an owner can, "write into the agreements a waiver by the buyer of any claim that the buyer may be entitled to equitable rights requiring a foreclosure case and instead agree that a breach of the lease agreement would be litigated in an eviction case only.", and that, "Buyers should seek to have a portion of all rent payments credited toward the purchase price. Building equity for the buyer and a greater stake in the rental property is beneficial for both sides, as the buyer will think more like an owner than a tenant." Additionally, he says that, "Buyers should also insist that all cost responsibilities are clearly spelled out. For example, either side can be responsible for costs such as taxes, insurance and association fees and everything is negotiable. The buyer may want to seek some kind of protection of his/her interest in the property in the event the owner fails to pay property taxes and thus risks the loss of the property to the tax collector."

   In the State of Ohio, we spoke with Troy Doucet, a foreclosure defense and consumer litigation attorney, who says that, "Ohio law requires the inclusion of about 15 different terms into any land contract in order to make it valid. Someone unfamiliar with these requirements could generate a void contract, and cost themselves statutory damages in addition to having to refund money paid." Doucet says that, "Creating a lease that provides for the ability to purchase later creates other hurdles under Ohio law, especially with regards to recording any kind of security interest in the property", and says that his recommendation is to, "always consult an attorney in drafting these types of contracts because they can be considerably problematic for the seller and buyer if not drafted correctly."

   Finally, in the State of Texas, we spoke with Attorney Patrick E. Hudson, who says that, "Rent to own laws vary from state to state", and that "In Texas, sellers used to take advantage of rent to own buyers by taking the house back when the buyer missed the first payment, even if the buyer had paid on the home for years.", but that, "the Texas legislature stepped in and put burdensome regulations on rent to own sellers.". Hudson says that the regulations, "generally provide that the buyer has to be provided notices and opportunities to cure any default before the seller can take the property back.".

   Hudson says that the state regulations are so difficult to comply with that, "many law firms advise their sellers to avoid rent to own contracts". He does, however, mention an alternative, where, "A seller can lease the property and give the renter/buyer an option to purchase the home at the end of the lease for a good price.", which, "avoids all of the hurdles of a rent to own transaction.".

   We are looking for some additional input from real estate attorneys in other states, and we welcome your comments on this post.

Have a Great Weekend, and Happy Rent-to-Owning !
HomeRun Homes Blog http://blogging.lease2buy.com
HomeRun Homes Website http://www.lease2buy.com

November 17, 2010

Mixed Construction Numbers and Important News for Sellers

Hi Folks,

   Good Morning and I hope your week is going well.

   As of this morning, the October figures for New Residential Construction were released, which encompasses building permits, housing starts, and housing completions.

   To summarize, both privately-owned housing units authorized by building permits and the single-family authorizations were up from September. Privately-owned housing starts in October were down substantially (in excess of 11% !) from September, while single-family housing starts were down marginally. The last piece of data shows that privately-owned housing completions in October were below the September figures, while single-family housing completions were above the September numbers.

   Now, as the subject of this post mentioned - "Important News for Sellers":

  
We are offering 50 Free Seller Ads (2-Month Ad duration) - so you can list your home for Sale or for Rent to Own (a $9.99 value). Is there a catch? Not at all. Let's just call it some early "Holiday Spirit".

   If you are selling a home, how can you grab your free Ad? Just CLICK HERE to send us the E-mail address that you will use to create your ad. We will then send you a user name, password, and the link to log in and place your Ad, add images, etc. This is a very rare opportunity, trust me, so make sure you stake your claim today...CLICK HERE.

Have a Great Day, and Happy Rent-to-Owning !
HomeRun Homes Blog http://blogging.lease2buy.com
HomeRun Homes Website http://www.lease2buy.com/

August 16, 2010

New Widget with Scrolling Ads from our Site

Good Morning Everyone,


   We hope you have all had a great weekend.

   OK, so once again, we are referring to that "Magical Blog Post", where we asked for your input, and you gave it to us. Over the past few Blog posts, we have already addressed The Top Real Estate Investing Markets, What You Need to Know in Real Estate Investing, The Top 5 Things NOT TO DO When Selling a Home, and What You Need to Know when Buying a Foreclosure.

   Today, we are giving you access to a Free "Widget", which is a piece of code that you can add to your website or Blog, and it will continuously scroll with the latest Buyer and Seller Ads from our website (See Below). The Widget and the Code are shown below as follows:




WIDGET CODE:


   Once the code is inserted into your Web Page or Blog, it will look something like the image on top of this Blog Post.

   If you have any questions on how to use the code or any additional questions, please let us know via commenting on this post.

   Have a Great Week, and Happy Rent-to-Owning !


April 28, 2010

Lease2Buy.com Updates, Featured, Free Offer...

Hi Everyone,
Happy Mid-week to you.

Today, we are just giving you some updates on the website, along with another FREE OFFER - Free Offers are Cool!

First, just an update on the ability to Feature/Upgrade your Ads.
We have completely redesigned and updated the Top Spot/Featured Ad Pages for the following types of Ads:

Buyers/Homes Wanted at http://www.lease2buy.com/top_homeswanted.php, and

Sellers/Homes Available at https://www.lease2buy.com/top_homesavailable.php

Both upgrade options are available either upon placing an Ad, OR, via your Login/Control Panel (from the "Log In" button on the homepage, or directly via http://www.lease2buy.com/login.php). When you log in and "View" your Ads, there will be a "FEATURE/SHOWCASE THIS AD" option next to the Ad.

Remember: There is only ONE "TOP SPOT" Featured Ad per State (we can only allow one on the top of each State without it getting cluttered).


Website Tip of the Day:
How to get "ONE FREE MONTH" added on to the Ad you have already placed !

When you log into your account (from the "Log In" button on the homepage, or directly via http://www.lease2buy.com/login.php), there is a button that says, "Survey".

If you click that button and fill out a short survey with your very useful comments/questions, not only will this be very helpful to us, but we will also add one extra month to the Ad you have placed!!

How's that for a sweet deal?

When we receive your comments and questions (on anything - the site, the design, suggestions, the market - anything), if they require a response, we will reply.

If it is an incredible question or comment, we might even post it here on the blog and respond to it here, especially if it is something that can help everyone.

Check back later in the week for more interesting news......

Have a great day, and Happy Rent-to-Owning
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