Q: INCOME – What is the income requirement?
A: Due to increasing house prices and strict mortgage rules in place, the minimum household income requirement may vary.
Q: DEPOSIT – Is there any initial deposit required?
A: Yes. How large it is depends on the price of the house. When you buy the home at the end of the program, 100% of this money will go towards your purchase.
Q: PRICE – What will be the price of my home at the end of the program?
A: The house purchase price is determined based on your current financial position and your eligibility to purchase the house at the end of the program. The house price appreciates annually according to the local market conditions. The appreciated price is agreed upon when you start the program and is written in the program’s agreement.
Q: DOWN PAYMENT – How much money do I need for a down payment at the end of the program?
A: The amount of the downpayment may vary. A typical target is at least 10% of the purchase price of your home.
Q: RENT – Will my rent increase during the program?
A: No. The rent is fixed for the duration of the program and is also part of the agreement. Expect typical rent-to-own monthly payments to include a contribution towards the down payment necessary at the end of the program.
Q: CREDIT REPAIR – What is the credit repair requirement?
A: In order for you to successfully obtain a mortgage at the end of the term, you will be required to work with a designated credit repair specialist.
Q: MAINTENANCE – Who is responsible for the home maintenance?
A: You will be responsible for the maintenance, any small repairs, and upgrades of the home and any costs associated with these. Just note that taking good care of your house will automatically increase its value.
Q: INSURANCE – What type of insurance is required by your program?
A: You will be required to have content insurance to cover your personal belongings. On top of it, you will be required to have disability insurance to protect yourself in case of any unexpected circumstances.
Q: TIME – How long does the program take?
A: A typical length of a rent-to-own program is 3 to 4 years, which is necessary for clients to repair their credit standing and to accumulate sufficient funds towards the down payment and closing costs.
Q: PETS – Am I allowed to have pets?
A: A typical rent-to-own program is a pet-friendly program under the condition that you must follow rules such as municipal and condominium by-laws.