How to Write a Rent-to-Own Proposal
A rent-to-own agreement presents an opportunity for a property owner and prospective home buyer to create amicable terms for the future purchase of real property. The typical rent-to-own agreement indicates the required down payment and monthly rental amount. The renter is given an option to purchase the property at the end of the agreed upon term. Generally, a fixed dollar amount of each rental payment is reserved for the buyer's use at settlement.
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Instructions
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Locate a property that meets your housing needs. Look for houses that are for sale or rent. Make an appointment to see the house.
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Contact the property owner or real estate listing agent to discuss your rent-to-own proposal. Ask questions to help structure your proposal, such as what the purchase price is, the rental amount, rental term and the portion of rental credit toward your purchase option.
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Type an agreement that proposes terms that you want. List items that the owner has stipulated. Include modifications that you are proposing.
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Present your rent-to-own proposal to the property owner. Make changes, as needed, to form a mutually beneficial agreement.
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Tips & Warnings
Your proposal may not be accepted as submitted. Adjustments that meet the satisfaction of all parties might require multiple revisions. Rental credits, as well as any ownership interest or vested equity that accrues during the rental period, will typically be forfeited if you do not purchase the home according to the terms of your final agreement.
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