subject: Lease to Own Homes in Canada [print this page] Lease to Own Homes in Canada Lease to Own Homes in Canada
With the historically low interest rates recently available, many people purchased their first homes in Canada over the past year. What if your credit is poor and you don't qualify for traditional mortgages? Often only high interest loans are available if you are considered a credit risk. Another option to become a home owner is through lease to own homes in Canada.
With some lease to own programs, you get to choose the home you want to buy. You are able to move into the home right away and can decorate or make improvements. When you make your monthly lease payments on time, you work towards building or repairing your credit. When the time comes to purchase the home at the agreed upon price, you will have a better chance to qualify for low mortgage rates.
In addition, you can benefit from any rises in home prices during the period you are paying the lease. Since the purchase price is pre-determined, you benefit from any rises in home values above that price. This difference is considered equity, and can also help you obtain a mortgage - much like having a larger down payment would.
Working with an expert lease to own company also helps you avoid many of the pitfalls in buying your first home. The company will pre-qualify the home, making certain it is a sound investment in terms of price, structure and build.
Lease to own homes in Canada are a good way to start building equity and living in your dream home, before real estate prices go up further.
