HOW THE PROGRAM WORKS
Our program provides responsible households with a clear and transparent path to homeownership through the Lease with a Right to Purchase Program. This program provides five years of rent certainty with only a one-year financial commitment on the lease.
If you want to own a home but cannot currently qualify for a mortgage, or if you would prefer to rent a home now with the goal of purchasing it in the next three to five years, then this program may be for you. The focus isn't exclusively on your credit score. The full credit profile of your entire household is taken into account when they review your application to the program.
As with a standard lease agreement, you are required to sign a lease for a year and make a security deposit. Unlike a standard lease agreement, you will have renewal options providing five years of rent certainty and the right to purchase the home at a price established when you enter the Right to Purchase Agreement, in accordance with the terms of the Agreement. (This means, you can certainly rent the home for up to five years without any obligation of buying it at any time, and you can decide at every year interval, whether you want to commit to another year renting, or buy it, or move on to another home) You can also select the home that you want to live in from those eligible and available for sale in communities we serve – enabling you to live in a neighborhood today where you might not otherwise find a suitable home to rent.
Our client buys homes in specific approved communities, (which are most areas we work in, including the Twin Cities and surrounding areas such as Dakota & Scott counties) We will guide you in finding the right home in the right community in the program. Once you approve the purchase price in your Right to Purchase Agreement, that is the price at which you may purchase the home during the term of the lease, in accordance with the terms of the Agreement, whether the home is later appraised at a higher or lower value. If you do not purchase the home as provided in the Agreement, our client may rent or sell the home to others when your lease ends.
Your initial lease is for one year, so your financial commitment is limited to one year. Your lease is renewable every year for five one-year periods, and you have the right to notify if you don’t want to renew the lease. Your full security deposit will be returned as provided in the lease if you decide to leave the home at the end of a lease period and have been in full compliance with the lease.
RIGHT TO PURCHASE AGREEMENT
Your Right to Purchase Agreement gives you the right to purchase the home you selected at a predetermined price for every year of your lease, as long as you have been in compliance with the lease, Agreement and other documents. You are under no obligation to buy the home.
WHERE DOES THIS PROGRAM WORK?
This works in most suburban communities in the twin cities. You will need to check the cities you are interested in here on this complete list here: ELIGIBLE COMMUNITIES
HOW DO I KNOW IF I CAN QUALIFY?
That is a good question. Most of the time if you can rent an apartment somewhere, then you can qualify here too. If you are concerned about income requirements or credit requirements, we have created quick checklist here: ELIGIBILITY CRITERIA
STILL HAVE MORE QUESTIONS? CHECK OUT OUR FAQ'S PAGE
We have created a list of questions people most frequently ask, feel free to check them out here...
READY TO LEARN MORE IF THIS IS RIGHT FOR YOU??
CLICK HERE to fill out the contact form, and this will tell us how we can best connect with you and answer any questions you may have about the program. Together we can see if taking the next step might be right for you.