Lease to Purchase: How Albuquerque Renters can become Owners

Lease to Purchase: How Albuquerque Renters can become Owners

(Transcript Snippet): ” Tracy:

Speaking of renting. So we really wanted to talk about a program for people who are renting or want to be renters that want a path to home ownership. Basically. Now there’s lots of ways that we can use this program, but we have a program to help people who are maybe not ready to buy. For some reason, they need to get their credit score up above bed, or they need to be in a career for a little bit longer than what they have been before they can get the loan that they want. Lots of reasons why they might need to rent a little bit before they buy. So this program is very much like a lease purchase.

Tego:

Yeah. Let’s talk, lease purchase or lease purchase is something that’s been around forever where it’s okay, I’m going to lease it for this amount of time. And then at a future date, I’m going to purchase

Tracy:

It. Right? Yeah. Then typically that purchase price is pre-determined. At the time you put the lease together, sometimes the amount of what you’re paying monthly, the person who owns the home will give you like a hundred dollars credit for each month you’ve been a tenant there and kind of hold that and help you build your down payment. There’s lots of ways they’re done, but this is a little bit different than that.

Tego:

It’s a program that’s available to really anybody that maybe they’re not in a position to purchase right now for, for whatever reason could be credit, could be just not sure if they want to commit long-term they, they want to rent. Maybe they want to try out the house for a little

Tracy:

Bit out the neighborhood or quiet the mountain. Exactly. And so what this

Tego:

Program is, this is a group that we, we have partnered with that allows the, the person to go pick out a home

Tracy:

That’s for sale.

Tego:

And this group will buy the home as an investment and they will turn around and either, well, not either they will rent it to them, but every year after that, that first year, the person that’s renting the house, they get the option to continue to rent, or they get the option to purchase a home. The rent and in the purchase price in the future is predetermined at the time that you go under contract in this. So it’s, it’s a way for somebody, we get a lot of people, Tracy, that call us in, in, let me just set up the scenario. Cause people may not understand somebody. They just moved here. Right. And they’ve just been in the job for six months or maybe their, their, their, their credits, eh, it needs a little bit of work and they know they can get it back. And you know, they’re working with a credit specialist like Michael Wright where they’re they’re, you know, they’re, they’re getting it better, but it might take them a year to get it back to where it needs to be so they can get a good, a good loan. Right. So those are the scenarios where it may make sense. Right?

Tracy:

There’s a lot of scenarios where it may make sense, but yes. So the way, you know, it’s, it’s really cool because you can, as a renter, go out and look at houses that are for sale and choose the house you really want to be in. And the one you want to make your roots in and eventually purchase, but if you don’t purchase it, that’s fine too. You can continue to be a renter in that house that you’ve selected in the neighborhood that you’re interested in. Right. When

Tego:

We first learned about this program and that we had it available here, we’re like going, well, this is, this is like a win-win win, right? I mean, it’s the company that’s doing. It’s good for them. It’s an investment, right? They’re earning money on their money. That’s what their job is. Right. But it gives the, the, the tenant slash potential purchaser, the options in the future to either buy the home or just move on. Right. And, and it’s, it’s a really, really great program. So if somebody’s interested in learning more about this Erin and rose and Zach on our team, who, who handle the phones and, and talk with people on the phone all day are very versed at this and can give you the information on how to learn more about it.

Tracy:

Call us right, 448-8888. And we would be happy to talk more in depth about this program and how to apply. And there’s just a few little criteria about what, you know, you for your qualification. But one of the really cool things about this is that the company that, that does this, that buys the home and then puts together the lease and how much it would cost you to buy the house. Year one, year two, year three, year four year five. They’d have, you know, a tiny little bit of appreciation in there each year, assuming houses appreciate three to 4% a year. They buy the house that you pick out with cash. So they make it a very competitive, you know, in today’s environment, their, their chances of being able to buy the house that you want to buy eventually, or that you want to live in are very high.