Take Good Care of Property
Since a stake of the property belongs to the tenant, they will tend to look after the property as well. This is because the property will eventually go to them. Moreover, the repairing and any maintenance is the responsibility of the tenant.Benefits Of Renting To Own Strategy Click To Tweet
Rental Paid On Time
Your tenants will definitely pay their rental on time each month. The rental will go towards their down payment for the property. You may also introduce a penalty clause for late payment of rent.
Using this strategy, all negotiations are done between the two parties without having a real estate agent to be involved. With this, you will be able to save from paying commision to the real estate agent.
Better Quality Tenants
You tend to get proper tenants because they aim to own the property eventually. They are less likely to vacate before the end of the tenancy period. The tenants would not hesitate to accept another term that will make the property theirs.
Still Make Money
Even if your tenants do not come through with the sale stage, you can still make money. This is because you will still have the Rent To Own Option Fee in hand and part of the monthly rental that is going towards the down payment of the property.
You are usually dealing with people who are desperate to offload their properties when you are using this method to buy properties. They are willing to be flexible during the negotiation process.