The rent to buy property option has become more and more popular. What a rent to buy means that, instead of buying the house immediately, a suitable rent figure will be paid for at least the first six months and at the most two years. At the end of the rent period an option will be made available to buy the house. The rent will then be used as a deposit towards the house. This deposit can range from twenty-five percent to seventy-five percent of the accumulated rental fees. There are several rent to buy schemes around. These schemes are usually done either by private sale or real estate agents.
When people rent to buy homes it can be for various reasons. In some countries this method has been introduced by the government. This will help the lower class to start owning property, because they often do not have the ability to save up for a deposit. While this method has also shown to help first time home owners, this is because as a young person it may be hard to try and save up the required deposit while still having to pay for rent.
Rent to buy properties in the SA has also become popular so popular in this method has been introduced by the government. This will help the lower class to start owning property, because they often do not have the ability to save up for a deposit. The other methods in the SA included using a real estate agent and going through a private deal.
This method is significantly better than renting because at least the is a chance of ownership. While renting offer no long term investment. Renting has a lot of drawbacks. One of the greatest is because it is not your house; you cannot do anything to it. This includes painting the walls. In some cases they might even restrict the ability to won pets. The owner can also evict the tenets when the contract expiries or when the find a specific reason. This can often lead to contractual problems. The advantage of renting is that if there is problem with the house it is the owner’s obligation to fix it.