Have you ever heard of the concept of lease to own in the housing industry? I recently heard about this topic and I really had not understood what it meant until now.

If you are trying to sell your home and are having no luck, consider offering it in this way. What this means is that you must find a person that is first willing to rent the property for a set amount of money. If this person is interested in buying the house, but has poor credit or no money to put down, a lease to own is a great way for the renter to buy the home. To complete this type of agreement, assume that the renter is paying $500 a month for rent. With a lease to own, you draw up a contract that requires the renter to pay $750 a month. The $500 is for the normal rent payment, and the remaining $250 goes into an escrow account. This amount grows each month and when there is enough in the account, the total amount is given to the seller as a down payment and the buyer obtains a loan at that point.

There are several important factors to keep in mind with this. As the home seller, you must hire a real estate attorney to draw up a contract that benefits you. Typically in this type of agreement, the buyer loses the down payment escrow account if he backs out of the deal. The seller receives this money basically either way. If you are interested in learning more about this, contact a real estate attorney for additional details.