Renting to own a home in Pittsburgh, or any city for that matter, is not a new concept… but the whole process of “renting to own a house” is a process that most people have questions about.
Well, you are in the right place!
This article will walk you through what to look for if you are looking for Pittsburgh rent to own houses.
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. Do not look at it like you are looking for a house to rent for a short amount of time. Of course, you should find a house that is one you would love to live in for a longer period of time (no less than 5 years).
Because with rental houses, you know it is a temporary thing… so you will settle for a house that is less than ideal.
But since you are 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 are renting a “rent to own” house… but you should choose a house you would be delighted to live in for years 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 Pittsburgh Home Seeker
Not all rent to own houses in Pittsburgh have the same contract that goes with them. Make sure to find out the terms of the rental agreement and the terms of the purchase option as well. Usually, the monthly rent is a bit higher with a rent to own agreement vs. a normal rental agreement… because you are basically paying a premium for the ability to potentially purchase that house at a predetermined price in the future. There is a lot of value in that.
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.)
Make sure you have all of the above in the agreement and in writing to clarify who is in charge of these types of items throughout the rental term.
3. The Value Of The Home – The Value Going Up?
One of the big benefits of a Pittsburgh 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 does not come at a discount for you… but, if you buy in the right Pittsburgh PA 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.
If you still have questions about the rent to own process call PghLeaseOption.com at 412-561-9540. PghLeaseOption.com is a subsidiary of Pittsburgh Cash Home Buyers LLC and the CZ Capital Group family of companies.
And if you want to be put on our local Pittsburgh Rent To Own Home List click the link below to see what’s available.