FREE 5+ Rent with Option to Buy Contract Samples & Templates in PDF

With the cost of rent increasing these past years, more and more people are considering purchasing their own home. Straight out purchasing a house, however, is also very expensive. One option renters can consider is using a rent with option to buy contract. This contract, like any other contract, should contain all the essential elements of a contract.

A rent with an option to buy should include contract clauses that states the necessary terms of the lease as well as the option to purchase clause. We provide you with easily customizable rent with option to buy contracts in this article.

Residential Lease with Option to Purchase Form

Rent Lease Agreement with Option for Purchase Contract

Real Estate Rent with Option to Buy Contract

What Is a Rent with Option to Buy Contract?

You may be tired of paying rent for a home that will never be your own. When this is the case, one option you can go with is having a rent with option to buy contract. This is commonly called a rent-to-own contract. In this type of agreement, renters need to pay an option premium, which is usually 5% of the agreed purchase price. This premium gives the buyer the option of buying the house at a later point. You might find these contract in PDF and rent-to-own home contract samples helpful also.

Things to Know before Signing a Rent with Option to Buy Contract

While some people may be too excited with the prospect of renting to own a house, they may overlook some important things about it. To find out more about it, check out these rent-to-own contract and rent contract.

• The terms are negotiable. In a rent with option to buy contract, you can easily negotiate with the seller, from the down payment to the maintenance terms.
• The premium payment is non-refundable. If the deal is not achieved, you don’t get back the money you paid.
• The tenant still pays rent to the landlord and pays a little bit more, which is then credited to the purchase price.

Residential Lease With Option to Purchase Form

Rent to Own with Option to Buy Contract

Real Estate Rent with Option to Buy Contract

Tips in Dealing with Rent with Option to Buy Contracts

A rent-to-own contract may seem like a good decision when you are still trying to improve your credit score to get a home loan. This contract gives you the option to purchase the property at a future time so you get to see the fruits of your payments. These contract sample, rent-to-own home contract, and lease contract would provide you with useful guides in dealing with these contracts. Also, here are some useful tips to use when considering this option.

• Negotiate. As everything in this type of transaction is commonly negotiable, you should talk with your landlord and negotiate on the terms of the contract. You may ask for a lower premium payment so there is lesser risk when you decide not to go through with the purchase.
• Check the maintenance terms. The contract needs to tell exactly who is responsible for all the maintenance and repair costs involved in the property.
• Check whether a percentage of the premium and rent is deducted from the purchase price.