Lease Purchase /

Rent to Own

Required Qualifications:

Down Payment ($5000 – $50,000)

Debt-to-income Ratio 35% or less

No Minimum Credit Score

 

 

Terms:

Our lease purchase terms are between 12 – 24 – 36 months. You must obtain your own financing before the end of your lease-purchase term to exercise your right to purchase the house.

 

 

Down Payment:

Your Down Payment will be based on the house purchase price. We will take the purchase price of the house times 5 percent. There is a minimum amount of $5000 down for any lease purchase house. Your down payment amount will be deducted from the final purchase price at closing as a seller credit to buyer. All down payments placed with lease purchase agreements will be non-refundable. You must get a new loan to purchase house before your lease expires.

 

 

Debt to Income Ratio:

Your Debt to Income Ratio is important, (we don’t want you to get in over your head). Our company standard is to ensure that your DTI Ratio is no more than 35%. This leaves very little adjusting needed to meet the requirements for a conventional loan. There are a lot of lenders who will approve a loan with a DTI Ratio of 35% or less.

 

 

Credit Score:

Your credit is not a big issue at this time, but you must be able to obtain a loan with a lender of your choice before your lease expires. There is No Minimum Credit Score needed for approval. All applicants with the required down-payment and the best debt to income ratio will get approved. Your credit will be pulled for verification of identity and current listed debt from the credit bureaus.

 

 

Rent Credit:

The monthly payment during your lease will vary depending on the price of the house. Once this price has been established by HP Real Estate Inc, a rent credit will be offered to assist in additional down payment assistance for your purchase. This rent credit will go towards your purchase at closing.

 

 

Purchase Price:

All houses will be offered at current fair market value. Our target price range for houses in this program will  range anywhere from $50,000 – $650,000. If you are looking to purchase a house in this price range, then this program is for you.

To purchase a home through this program, you will be required to fill out a one page application, where you will note how much you have for a down-payment along with your current debt amount.

Your credit is not a big issue at this time, but you must be able to obtain a loan with a lender of your choice before your lease expires.  All applicants with the required down-payment and the best debt to income ratio will get approved.