The owner of many distressed properties will be looking to rent out the house as they face foreclosure. Also real estate agents who represent foreclosed homes will be able to give you a list of lease option rent to own single family homes on the market.
Qualified buyers who are approved for a rent to own option will require first time home buyers to have great credit scores, and a good stable income so the lenders who hold the mortgage on these homes may not want to put the house up for sale.
Simply because the selling price will be for less than what is owed to the bank. It is best to check classified ads or the realtors in your local area to find rent to own homes that usually have people who will represent the owner of the home.
Be prepared to pay high fees if you are unable to find the homes on your own. A lease to purchase contract can be setup between you and a homeowner who is facing foreclosure, if this is the case you will want to consult a real estate attorney to know what your legal rights will be.
Some of the benefits of renting a foreclosed home will be the tax credit you will receive each year on lease to own home propertie purchases.
Remember that taking over mortgage payments from a home owner is not the same as having a lease to purchase, you will end up having to move once the foreclosure proceedings are over.
Bank owned foreclosures are popular among first time homebuyers because the value of the homes in the area have dropped to make it more affordable for those who are currently renting to be able to own a home .
Finding a home is going to be the biggest challenge and then once one is found it may take longer than expected to reach a closing date and in that case you should have a backup plan.
Once you have settled on a home you will need to be prepared to offer more than the asking price to close the deal, also if there is any repairs that need to be done, make sure you get a home inspection before you make your final decision.