Why rent when you can own in Kansas City MO? Great question! If you’re looking for Kansas City houses for rent you may want to consider your other options as a potential homeowner in the Kansas City area.
Most locals who are looking for homes to rent in Kansas City are likely looking at renting as their only option because of things like…
– Bad credit (and can’t get a traditional bank loan to purchase a home)
– Not enough funds for a large downpayment on the Kansas City home you want to live in
– … or you’re just used to renting and didn’t know there were other options.
Why Rent When You Can Own in Kansas City?
How Many Kansas City Area Renters Are Turning To Home Ownership By “Renting To Own”?
If you haven’t heard of “renting to own” a home (some call it a “lease option”), you’re not alone.
But the “rent to own” concept isn’t new.
In fact, renting to own has become really common for many things, including furniture, electronics, cars, and more.
And the rent to own concept for houses has been around for decades as well.
So What Is A “Rent To Own” Home?
You can check out more info here on our website to learn more about renting to own a Kansas City home… but in basic terms a rent to own home is…
… Simply a home where the owner of the house allows you to rent the house, with an option at the end of the rental term to purchase the house at a price you and the owner agree upon ahead of time.
You’re not obligated to purchase the home… but the seller is obligated to sell you the home at that pre-determined price if you choose to purchase it at the end of the rental term.
Here’s how it typically works:
- The tenant pays the landlord an option fee, which is a non-refundable amount that gives the tenant the option to buy the property at a later date.
- The tenant signs a lease agreement and pays rent to the landlord for a specified period, typically 1 to 3 years.
- At the end of the lease term, the tenant has the option to purchase the property at a predetermined price.
- If the tenant decides to exercise their option to buy the property, the option fee is applied to the purchase price.
- If the tenant chooses not to buy the property, they forfeit the option fee and move out of the property.
Lease options can be beneficial for tenants who may not have the upfront cash or credit required to purchase a property outright. However, it’s important to carefully review the terms of the lease option agreement, as they can be complex and may include restrictions and obligations that you should fully understand before signing. It’s also recommended to have a lawyer review the contract to ensure that your rights and obligations are protected.
So How Does A Rent To Own Program Help You Buy?
There are a few big benefits to Kansas City rent to own home programs like ours that can help many Kansas City area residents to become homeowners.
Usually, there’s something causing people to choose to rent over buying.
If your credit is preventing you from getting a bank loan to buy a home, a rent to own program can give you the time and assistance to improve your credit during the rental term… so at the end of the rental term, you can hopefully qualify for a bank loan and buy the home!
Or for many people, the issue is the downpayment. If you just don’t have the money you’d need to put down on the house you’d want to live in… many times you can find rent to own programs with houses in the exact neighborhoods you want to live in… with much much lower move in fees… and even sometimes guidance in helping you build up the down payment needed during the rental term in the rent to own agreement.
In the end, if you’re looking for Kansas City houses for rent… before you go and rent another house you may want to explore our Kansas City Rent to Own Program to see if it’s right for you.
Renting to own isn’t for everyone… but if it’s the best fit for you this could be your chance to get out of the “rental rat race” and into a home of your own that you actually eventually own.
For more information on our local Rent To Own Home (lease option) program submit the form on the top right of this page, or give us a call anytime at 816-237-0869.