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What is Rent-To-Sell?
A Rent-To-Sell lease is written agreement between a property owner and a tenant that allows the tenant to use a property in exchange for rent, but it also gives the tenant the option to buy the property for a certain price within a specified time period.
A Rent-To-Sell contract assists low to moderate income homebuyers in purchasing a home by allowing them to lease a home with an option to buy; the rent payment is made up of the monthly rental payment plus an additional amount that is credited to an account for use as a down payment
What if the tenant damages or even wrecks my house?
We do not guarantee that a Tent-Buyer will not trash your property. However, because of the amount of the Option Fee” (down payment) paid at the beginning of the lease, Tenant-Buyers think of the house as their own, and treat it very differently than regular tenants who have no personal interest in the property.
If the property is wrecked, we guarantee to repair it to its original condition. Your agreement is with BC Realty 911 Ltd, not the Tenant-Buyer.
When will you sell my house?
We cannot give you a fixed date. It will be anywhere from 6 months to three years, and occasionally longer. It depends upon the financial circumstances of the Tenant-Buyer and how long a Rent-To-Own contract is entered into.
How will you make my payments every month?
We collect rents using direct deposits, and also pay our owners in the same way. You will be able to check your bank statement for a non-payment and contact us immediately. We are pending members of the Better Business Bureau.
How can your company or your Lease Program really help me?
BC Realty 911’s Rent-To-Sell program is not for everyone. If you need the cash from a sale “right now”, we have another program that may be better suited for you.
However, if you want to earn some rental income for a year or two, and can wait to get the cash out of the property, than Rent-To-Sell may be an option for you to consider.
How does your company make its money?
BC Realty 911 Ltd makes its money on the difference between the price you sell to BC Realty 911 and the future sale price to the Tenant-Buyer. You pay no real estate commissions, and, in most cases, the Tenant-Buyers pay all the costs.
I have not heard of this before. Is this legal?
Yes!
Rent-To-Own (also called Lease Options) has been around for many years. It comes and goes as the real estate market swings up and down. It is perfectly legal. BC Realty 911 Ltd uses contracts prepared in British Columbia to suit our real estate needs.
Are there tax considerations to doing a Rent To Sell?
Yes!
BC Realty 911 does not give legal or accounting advice. You need to discuss taxes with your accountant for a full explantion.
There are certain tax benefits to selling your home using Rent-To-Own with a Tenant-Buyer. In all likelihood you will be able to deduct the interest payment on your mortgage from your taxes.
Who makes the repairs?
Repairs are normally done by the Tenant-Buyers.
What assurance do I have that the Tenant-Buyers will be good tenants?
BC Realty 911 Ltd does a thorough credit and reference check on all potential Tenant-Buyers. While we are not as strict as the banks are, we use the same degree of checking as they do. We want to set the Tenant-Buyer up for success when it comes time for them to complete the purchase.
Tenant-Buyers need to pass our scrutiny before being accepted into our program.
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