When You Can't Sell A House: Consider Lease-To-Own
When you list your home on the real estate market and cannot find a buyer for it, you might feel discouraged and hopeless. If you really need to sell the house and cannot find a buyer, it could put you in a really bad position, especially if you need to relocate or if you are building a new house. There is an option you could consider, though, and it involves selling your house through a lease-to-own deal.
The definition of a lease-to-own sale
Selling a house with a lease-to-own sale involves finding a person who will rent your house from you for several months or years with the goal of purchasing it at the end of the deal. The person who buys your house will give you a down payment, and you can determine how much this will be, and he or she pays you an agreed-upon monthly rental payment.
These contracts can last for a few months or a few years, and you will need to keep your mortgage on the house during this time. If the buyer fails to pay you the rent payments, you can take the house back and keep the down payment he or she paid.
Why buyers look for homes like this
There are always people looking for lease-to-own homes, and there are several reasons for this:
- A person doesn't have enough money for a down payment for a loan through a bank.
- A person's credit score is too low right now to qualify for a loan.
- A person does not have verifiable income, which is a requirement for a loan through a lender.
While it may appear risky selling your home to a person in one of these situations, keep in mind that he or she will give you a down payment that you can keep if the deal falls through. This down payment is an incentive for the buyer to do everything possible to get a loan by the end of the contract.
How this would help you
Selling a house through this method would offer a way to have income coming in each month to pay your mortgage. Also, you can charge more for the rent than what your expenses are, which means you may make a little money each month from the deal.
If you are facing this situation right now and need to find a solution, you could consider this option. If you would like to learn more about selling a house through this method, talk to a realtor today.