How the Home Owner Soon Rent to Own Toronto Program Works
With the Rent to Own program, we find an alternate, private lender who is willing to finance you for a few years. During that period, part of your monthly rent goes to a final down payment. At the same time, you will have the services of our credit repair experts helping you raise your credit score back to the point where traditional lenders will open their doors to you. At the end of the 1-3 year period, you will “exit” back into a traditional mortgage and have the kind of credit history lenders like to see.
In other words, the Rent to Own Toronto program does not merely provide you with the financing you need now. It also helps make sure you never find yourself in this stressful situation again.
History / Statistics:
It’s an excellent time to live in Toronto. The Economist’s 2014 Global Livability Report named Toronto as one of the world’s five most livable cities. Other recent statistics show that Toronto’s crime rate is the lowest of any Canadian city with a population over 500,000. Plus, Toronto has earned a reputation as “the City Within A Park” for the surfeit of leisure opportunities and proximity to nature.
Key to enjoying the 140 lively, eclectic neighborhoods that make up the largest city in Canada and the 5th largest city in North America is being able to afford a home. Yet with the Canadian Mortgage and Housing Corporation having tightened lending standards considerably over the last few years — many homeowners who would previously have had no trouble getting a mortgage are now finding themselves denied.
To be sure, the problem is not necessarily with the bank. Banks often simply take your credit history and income, plug the numbers into their proprietary formula, and read off the decision from their computer screen — “approved” or “denied.” This is wonderful if you have been approved, but potentially devastating if you have been denied.
Once you have been denied a mortgage by a bank, there is usually no way to appeal. And, given the way many homeowners have been taught that the only way to finance their homes is with a bank or credit union — this leaves many feeling trapped.
Fortunately, there is another way. Home Owner Soon is in the business of taking homeowners like you from the “denied” you receive today to an “approved” within 1-3 years. The key is our Rent to Own program, which allows you to move into the home of your dreams immediately.
The Home Owner Soon Rent to Own Toronto program is open to people regardless of their credit score. However, we will only take you on if we believe we can help you. Finding you financing for 1-3 years will not help you, in the long run, if we cannot also fix the issues that are keeping traditional lenders from working with you.
Therefore, we use a 9-step system that maximizes your chances of success. The first step begins with you choosing a home using either your own Realtor or one of ours — we will never force you to pick from a “menu.”
We will have our Underwriting Department then review your application to make sure we can devise a plan that will result in you owning your home. Part and parcel of this is being able to resolve your credit issues during the 1-3 year program term. Not to worry — we have a great deal of expertise doing exactly this.
Once everything is in place and the contracts are ready, we require you take the contracts to your lawyer for review. This Independent Legal Advice ensures that your interests are protected and that you fully understand how the program will work. After all, we are in the end only helping you help yourself, so you must have a full understanding of the program to succeed.
Finally, the rent to own contracts are signed, the Funding Partner buys the house on your behalf, you can move in, and we all start working on your “Exit” to a traditional mortgage.
The bottom line: it doesn’t matter where your credit score is now. You can still qualify for Rent to Own!