The Ideal Rent to Own

As mortgage laws get tighter and people are finding it harder and harder to qualify for their own mortgages today, rent to own is fast becoming an option that many people are turning to.

BUT what makes a great rent to own tenant-buyer or rent to own program?

Truthfully, the best and most successful rent to own tenant-buyer is someone that already has a homeowner mindset.

Young, old, single, married, families, divorced, self-employed or new to the country. It doesn’t matter which category you fall in to, rent to own could be a good option for you if you have not been able to secure a traditional mortgage as a result of credit challenges or lack of down payment. Rent to own will give you the opportunity to choose your own home, the time to repair your credit and the discipline to build your down payment while you build equity in the property BUT it isn’t a slam-dunk for everyone. Even though rent to own can work for many types of situation, here are the mindsets of the people that will succeed in a rent to own:

1. Eager and motivated to be a homeowner because they understand that real estate is one of the best ways to begin building their wealth

2. Determined to repair any credit issues that they have to deal with

3. Understands the benefits of equity appreciation

4. Takes pride in maintaining and upkeep of their home

5. Is tired of spending hard earned money on rent which only makes their landlord rich

Even with the right mindset (which is half the battle), you still need to align yourself with the right rent to own program or model. There are many options out there (Tenant first where you select your home, property first where you select a home from a list of available homes, no-money down etc.) so the best advice is to always do your due diligence on the people or company offering the rent to own and on the rent to own programs available. This is key. A great rent to own program can be defined by many things and is likely to be subjective but for me, here are some of the things you should be looking for:

1. A program where you are supported on your credit repair efforts. Two or more heads are always better than one. Even having someone you trust to bounce ideas off of or have questions answered sometimes makes the difference.

2. A program where enough of the monthly payment goes towards your down payment or option credit so that you can increase your down payment to 5% or even better, 10%.

3. You should be selecting your own home. Even though it is a “home” for your family, it should fit your needs and budget… and you should LOVE it. How likely are you to succeed if you don’t enjoy being there or being in the neighbourhood.

4. Transparency. Are all the numbers provided to you up front? Avoid surprises later by ensuring that you agree on the numbers before you commit to the property.

5. Homeowner feeling. Don’t enter into a program where you are going to be “landlorded”. One of the best things about rent to own is that you have the freedom to update the property and make it your own. You shouldn’t be micro-managed around being a homeowner.

Landlord Tips And Tricks

Every real estate investor dealing in rental homes has done his own clean-up and fix-up, at least in the early years. Landlords also become very skilled at managing tenants after being burned a few times.

You learn the tricks of the trade and how to get the best results for the least cost. Maybe a few of these tips will be new to you.

You can give kitchen cabinets new life with a liberal application of Liquid Gold.

Everyone has at least one chip or scratch in the porcelain on their refrigerator, bathtub, stove (except high heat surfaces), sink, washer or dryer. The solution? Touch up that nick with a tough porcelain glaze called “Porcelain Chip Repair”. Just dab it on with the built in brush and it hardens in 24 hours. If your hardware store does not carry it you can find it with a Google search.

You can quickly clean black scuff marks from vinyl floor covering with a squirt of WD 40 lubricant and a rub with a clean cloth.

Put a shiny new strainer in the sink drain. Then install new handles and drawer pulls and you often have a minor kitchen miracle.

Get rid of globs of sticky adhesive residue with Goo Gone.

When tenants move out they seldom do a really good cleaning job on the oven… or the dishwasher.

I’m sure you have discovered the many effective oven cleaners, but how about that gunk caked onto the inside of the dishwasher?

Try a product called “Dishwasher Magic”… found in many markets and some hardware stores.

The label reads “Removes Lime Scale, Rust & Buildup. Disinfectant”.

You just remove the cap… place the blue, plastic bottle upside down inside the silverware basket and turn the machine on. You might have to use two bottles if your first look into the washer causes you to run screaming from the house.

When vinyl flooring is ready to be replaced use commercial grade floor tile instead. It lasts almost forever and it is cheap to replace a damaged tile now and then.

Have you ever received an unsigned rent check? Here’s a method that often allows you to deposit that check.

Write or type the word “over” on the line where the signature would normally appear. On the back of the check type “lack of signature guaranteed”. Add your company’s name, and your name and title. Then you sign it on the back.

This guarantees your bank that you will take back the check as a charge against your account if is isn’t honored. Many banks will then process the check and remit the funds. This saves you the trouble of returning the check to your renter for a signature.

Spot those bad checks with this tips. 90% of bad checks are numbered 101 to 150, indicating a new account.

Legitimate checks have at least one perforated edge. Most forgeries are cutouts of copy machine created fakes.

Checks dated more than six months ago are usually not cashable, no matter how much money the issuer has in his/her account.

If the amounts written on a check in words is different from he amount written in numbers, the bank will pay the sum shown in words.

If you receive a check with the date missing, it’s legal to fill in a date reasonably close to the date you receive it. To predate or postdate the check by several weeks is a criminal act… don’t do it.

Remember, landlording is not for sissies. I hope these tips will save you a few dollars and a barrel full of aggravation.

How to Rent an Apartment With a Felony

If you are looking for an apartment, one of the things you can expect is for the management at the leasing office to conduct a credit check and a criminal background check. In the last 10 years, this practice has increased and even become controversial as some apartment offices are accused of downright discriminatory behavior. Nonetheless, the practice of running background checks has become more widespread as technology makes it easier. Today, a leasing office manager need not conduct make any phone call as all the background information on a prospective tenant is easily and readily available online at the touch of a button. If you have a misdemeanor criminal conviction, chances are you may still sail through a criminal background check because most apartment managers are actually looking for felonies and this is where it gets tricky. Can someone with a felony conviction get approved for an apartment?

A felony conviction is deemed much more serious than a misdemeanor and can actually result in a denial of an apartment or other housing where a criminal background check is conducted. There are many kinds of felonies but apartments are mostly concerned with those that involve:

  • Violence
  • Sex
  • Drugs

These three types of felonies are deemed serious enough for an apartment management to deny you housing. But is there hope? If you are currently looking for housing and have a criminal felon y conviction, the first thing you need to do is come clean beforehand. Do not wait for the apartment manager to pull the record but rather, inform him or her of the existence of the record. This can be even more effective when you write, in your own words, the circumstances surrounding the conviction. In many cases, this gesture can cause you to be approved.

Another way to gain approval would be to come with a number of references. These should be people who are reputable in the community, such as the local sheriff or fire Marshall, the local pastor or bishop, elected official or other prominent character. These references should state that they know you and that they attest to the fact that you are now a responsible individuals and the episode that surrounded your conviction is a thing of the past and is not likely to recur.

Finally, if you have a felony conviction, many apartments are willing to overlook it if it something that happened in the distant past. They tend to frown at recent convictions and will be lenient on cases that occurred years ago as long as there has not been any recent incidences.

People with felony convictions can also secure housing by approaching private landlords. While some do conduct criminal background checks, many do not.

Can Free Lease Agreement Forms Serve Purpose?

Currently, most people prefer renting property for residential purposes. Prior to taking possession of such property, there is some vital documentation that has to be completed. One of these documents is the Lease Agreement Form, which should be signed by the tenant and his landlord. This contract form spells out all the terms that both parties are expected to follow once they have signed them.

The Lease Agreement Form should comprise of all regulations connected to how the property may be used, the amount of rent and the date that the rent should be paid. The form can be written down by a legal expert such as a legal representative or a true estate agent. However, you will have to make some expensive payments for the job. If you want to avoid this, you can download a Free Lease Contract Forms from the internet, which do not exclude the important terms that should be entailed in such forms.

The Free Lease Contract Forms normally enclose information on different clauses concerning how the property that is to be rented out should be used. For some regions, they have rules and regulations concerning rent and eviction already laid out by the government. For such cases, the forms are normally customized to go by the rules. They also have spaces where you can fill in the details of the two parties, the date and a place where the two parties will put down their signatures.

Other clauses that are included are payments of electricity bills as well as water bills. In addition to that, there are specifications on who should be held responsible for all necessary repairs that should be carried out regularly. The two parties should have it in their minds that once they have put down their signatures in the forms, then the form becomes legally abiding.

First Time Tenants – Here’s Your Guide

I moved into this entirely new city – a less paying job at hand, no friends to stay with and absolutely homeless. Honestly, I had no money to waste staying in a hotel even if it meant for a day (I mentioned the low on fund thing) and no time to waste looking for flats in the new city. The easiest solution was PG Renting – it was supposed to be a relied for my low budget thing and I’d not have to worry finding someone to stay with too.

But, this is not where it all ends; PG renting is one hell-of-a problem and if you’re a first time tenant there are an extreme number of things you’re supposed to cover.

Here’s a guide for all first time tenants, like me. Also, if you wish you can thank me later.

  1. Keep your documents ready: The first thing that you should do is keeping the necessary documents ready; whether it is your work offer letter or a few documents related to your educational institution make sure you’re ready with the proof. This is the first step towards building your trust and impression on your potential landlord. On being requested to present the papers make sure you can do it all without and hesitancy.
  2. At least, have some idea about your workplace/institute: If you’re new to a city it might be really difficult for you to have complete information about your workplace or institution but make sure you have some idea. This will help you in renting a PG that is close to your desired destination; also, this will help you decide your mode of conveyance between the two locations.
  3. Be very clear about your requirements: It is best to mention all your PG renting requirements to your landlord, this will help the two of you decide whether or not this paying guest accommodation will be the perfect choice for you or not. Tell them in detail about all you need and if you’re open to any negotiation or not. Be very clear; keep no room for the any later problems between you and the landlord.
  4. Understand the policies: Every PG has its own set of policies that must be considered and carefully followed. Whether it is the PGs in-time and out-time policy or the monthly rental, the electricity bills, etc. make sure you’re very clear about everything right from the very beginning. Understand all policies much before you plan on moving in as a paying guest, if you have any queries make sure you’ve asked about them all well in advance.
  5. Always make a PG rent agreement: The mistake that most landlords and tenants tend to make is not making a PG rent agreement. This is one of the most important documents that will clearly mention all the facilities being provided to you as well as the terms and conditions of staying in the PG. Make sure you have this document prepared before you finally move in with your luggage.

If you’re a first time tenant these five points mentioned above will be of absolute help for you irrespective of your city and location. Make sure to consider these all to find the right paying guest accommodation for yourself.