Renting to own a home in Chicago, or any city for that matter, isn’t a new concept… but the whole process of “renting to own a house” is a process that most people have questions about.
Well, you’re in the right place!
This article will walk you through what to look for if you’re looking for Chicago rent to own houses.
3 Things To Look For When Renting To Own A Home In Chicago IL
1. Find The House You Want To Live In Long-Term… Not Just Rent
A lot of people who are deciding whether they should just rent or “rent to own” look at the whole rent to own / lease option process in the wrong way. Don’t look at it like you’re looking for a house to rent for a little bit. Of course, you should find a house that is one you’d love to live in for a longer period of time (no less than 5 years).
Because with rental houses, you know it’s a temporary thing… so you’ll settle for a house that is less than ideal.
But since you’re really looking to get a house to live in for years and years with a rent to own… it should be one that you can see your family in for years.
Yes, you’re renting a “rent to own” house… but you should choose a house you’d be glad to live in for years just in case you do exercise the purchase option at the end of the lease term.
2. Terms That Fit Your Goals And Needs as A Chicago Home Seeker
Not all rent to own houses in Chicago have the same contract that goes with them. So make sure to find out the terms of the rental agreement and the terms of the purchase option as well. Usually, the monthly rent tends to be a bit higher with a rent to own agreement vs. a normal rental agreement… because you’re basically paying a premium for the ability to potentially purchase that house at a pre-determined price in the future. There’s a lot of value in that.
But with rent to own agreements, you should also have some flexibility that protects you. Make sure there are no fees for not exercising the purchase option at the end of the agreement.
Also, clarify with the owner of the house on who will pay for things during the rental term like…
- Lawn care
- Upgrades inside the house (new appliances, paint, etc.)
Get it all in writing who’s in charge of these kinds of things during the rental term.
3. The Value Of The Home – The Value Going Up?
One of the big benefits of a Chicago rent to own home is the ability to lock in a home at a set price well in advance of you having to purchase it.
With a rent to own house contract, you agree on a monthly rental rate… a term of that rental (usually 12-24 months)… and a purchase price at a future date.
Because of this the purchase price usually doesn’t come at a discount for you… but, if you buy in the right Chicago IL neighborhood (one that is increasing in value)… you could be earning instant equity if you decide to purchase the home at the end of your rental term.
See Our Current Chicago Rent
To Own Homes Below!
If you still have questions about the rent to own process just call us anytime at (312) 300-2043.
And if you want to be put on our local Chicago Rent To Own Home List click the link below to see what’s available.