RENT TO OWN HOMES CAMBRIDGE
Rent To Own Homes Cambridge – Making Your Dream Home A Reality
Bad Credit? No Down Payment? Self Employed? New To Canada? Recent Bankruptcy?
- Lock in your house price: Secure your future purchase price today and beat rising house prices. The purchase price you pay at the end of the program is determined right at the start of the contract so you know how much you are going to pay, regardless of aggressive house market appreciation rates.
- Get fixed payments: Just as the house purchase price is fixed, your monthly payments are also locked in and does not increase anytime during the program.
- Build equity: Build your equity faster with your starting down payment and monthly option credits as compared to the first few years of a conventional mortgage.
- Better credit: Improve your chances of qualifying for a lower mortgage rate from a traditional lender in 2-5 years while living in your new home.
- Variable programs: Credit is not the crucial factor for approval, we look at the bigger picture of your home ownership.
- Credit coaching: We work with you; answer your questions and support your journey to a better credit rating through the program.
- Increased security: We protect your interests with legally-binding agreements that you can have checked and evaluated by a lawyer.
- Keep your options open: Choose the ideal solution that works for you whether it’s a longer term, an early purchase option, or ways to lower your monthly payments.
- More choices: Be in control, shop and buy the house you want and not just one from the home listings the competitors give you.
- Same lifestyle: avoid being house-poor by gaining the education and assistance to create a lifestyle-conscious budget.
- Keep owner privileges: own pets, paint walls, add built-in furniture, renovate bathrooms – the house is yours and all upgrades belong to you upon purchase.
- Move in right away: no advance rental payments AND no need to make a down payment until you have purchased the house.
- Low down payment: With as little as the greater of $10,000 or 3% of the purchase price* you can begin the process of owning your home. 20% of the rent you pay will be added to the Starting Down Payment to form your final Mortgage Down Payment. The Rent to Own Homes Cambridge program is recognized by CMHC.
Real Estate Stats: Cambridge
Interesting real estate stats for the Cambridge area:
…Cambridge is second in both the most expensive and the fastest growing in the Greater Kitchener – Cambridge – Waterloo region (source: Zolo) which may indicate that although prices are a bit high, people are still buying!
…there are just over 300 new residential listings in April 2018 (source: Canadian Real Estate Association) and the housing inventory is still at a low.
…the rental demand will continue to increase at a moderate pace (source: Canada Mortgage and Housing Corporation) as students, immigrants, downsizing households, and young households will prefer to rent.
Do you qualify?
There are only three minimum requirements to get started on the process of renting – and finally, owning – your own home.
There are 3 minimum Pillars to get started on the process of renting – and finally, owning – your own home.
- An amount of the greater of 3% of the Purchase Price or $ 10,000, which will be taken as to be part of your down payment when you are ready to buy.
- A Payment that is Affordable for your Income.
- A Financial Profile that can be “bank” ready by the end of the Rent to Own term.
What if you don’t qualify?
The Rent to Own Homes Cambridge program is NOT credit driven and our clients generally fall into at least one of the categories below:
- Power of sale (foreclosure)
- Poor or no credit score
- Self-employed and can’t show income
- Mortgage higher than the current market value due to market correction
- Orphaned mortgage, current lenders not renewing
- Property tax or income tax outstanding, tax liens
- Need to go into a consumer proposal, bankruptcy or not fully discharged
- Collections, judgments or writs on bureau
Rent to Own Process
Here is a summary of events which occur during the Rent to Own Homes Cambridge program:
- You can work with your realtor or you can choose to work with one of our associate Realtors to find and view houses for rent in Cambridge that you want to own in the future. We do not have an inventory of houses to choose from. You get to pick the property you want to enroll in the program.
- Once your Funding Partner is determined, we will draft the Contracts with the financing details of your Lease Purchase Program.
- Our Underwriting department examines your application to make sure you can afford the Monthly Lease to Own Payment. We will also create a plan to get you into Home Ownership in the future and work with you to resolve issues that result in banks disapproval today. Once we are confident that you can successfully complete the program, we will send you a Rent To Own program offer for your consideration.
- You have to take the rent-to-own program contracts to your lawyer to obtain Independent Legal Advice (ILA). This is a mandatory element with our program.
- Once your lawyer has reviewed and concurred with the contract stipulations, you can then sign (or not) and return the documents.
- If you agree to the terms of the Rent To Own Program, please send us back a signed copy of your acceptance along with supporting documents for our evaluation.
- The Real Estate contracts are then signed between the Seller of the Property and your Funding Partner. But remember, your Funding Partner will actually buy the house on your behalf and you sign the contracts to become the future Homeowner using our Rent To Own Program.
- We close and you move in. We start working on the “Exit Strategy” to be put in place before you are approved for the Rent to Own Homes Cambridge program.