What is a lease-to-purchase contract?

What are the terms and conditions for acceptance?

What is the process for selecting a home?

What are the features and benefits for opting for a lease-to-purchase contract?

How long is the approval process from beginning to end?

What are the financial obligations associated with a lease-to-purchase contract?

Will my monthly payment increase during the term of the contract?

Are the homeowners' taxes and insurance included in the monthly payment?

What is the length of the lease-to-own contract?

Can I extend the lease-to-purchase contract?

Can I purchase the property before the end of the lease?

Will I receive a rent credit?

Is there an opt-out clause for the lease and/or purchase of the property?

Can I make home improvement repairs to the property?

If I refer someone to Chattels Real, LLC, will I receive a finder's fee?

What is a lease-to-purchase contract?
A lease purchase goes by many names such as "rent to own" and "lease with an option to purchase." The definition is: A Lease Purchase is a Rental (or Lease) and a Purchase Agreement combined (and sometimes split) with the ability or right to purchase or control specific terms of an agreement while the real estate is being rented.

What are the terms and conditions for acceptance?
The client must meet the following criteria: demonstrate an excellent rental history, have a proven source of income, have funds to pay the required earnest money &down payment/option fee amount, copy of driver's license/state ID, 2 months of paystubs, 2 years of tax returns, and three references.

What is the process for selecting a home?
Chattels Real, LLC will work with you to find your perfect home. Upon approval, a realtor will accompany you to scheduled appointments, open houses, etc. Our group of dedicated realtors will guide you through a list of homes that meet your family's needs and financial parameters. Each home will receive an inspection prior to closing to ensure that the property is in good condition and free of undisclosed defects.

What are the features and benefits for opting for a lease-to-purchase contract?
Opting for a lease-to-purchase agreement will allow you, the client, to rebuild your credit, have the benefit of building equity in your home as you lease, experience a hassle-free transaction, as well as, receive down payment assistance upon purchase of the property.

How long is the approval process from beginning to end?
Every situation is different; however, Chattels Real, LLC is committed to fast, efficient service. The complete process generally takes approximately 3-5 days.

What are the financial obligations associated with a lease-to-purchase contract?
Chattels Real, LLC's prospective clients should expect to put down up to 20% of the purchase price upon approval of the contract. Thereafter, the client will pay rent on a monthly basis. Upon purchase, the option consideration fee is 100% refundable.

Will my monthly payment increase during the term of the contract?
Possibly so. Any savings that Chattels Real, LLC receives is passed onto the Tenant/Buyer. Any expenses that Chattels Real, LLC incurrs is passed onto the Tenant/Buyer. If the insurance and taxes should increase, the monthly payments will be adjusted accordingly. However, the option price will remain unchanged during the term of the contract.

Are the homeowners' taxes and insurance included in the monthly payment?
Yes. Chattels Real, LLC will allocate a portion of the monthly lease towards the payment of property insurance and property taxes. The client is responsible for obtaining renters insurance to insure the possessions inside the home.

What is the length of the lease-to-own contract?
Individuals can opt for 12 month, 24 month, or 36 month contracts.

Can I extend the lease-to-purchase contract?
Yes. If you need to extend the lease agreement beyond its original term, a non-refundable fee will be assessed and your purchase price may increase by an additional percentage.

Can I purchase the property before the end of the lease?
Yes. You can exercise your option to purchase the property at anytime during the lease for the option price.

Will I receive a rent credit?
The client will receive a monthly credit toward the purchase price of the home, if the lease is received by Chattels Real, LLC on or before the first of each month. The amount of monthly credit given is calculated to be the amount needed by the Tenant/Buyer to be able to be financed at the end of the term. The credit amount is typically a monthly credit of 0.1% of the Purchase Price.

Is there an opt-out clause for the lease and/or purchase of the property?
No. The clients are expected to uphold the terms and conditions of the contract. In the event that the property is not purchased within the contract agreement, the option premium and monthly lease credit are not refundable.

Can I make home improvement repairs to the property?
Yes. Investing in a property through home improvement repairs increases the value. Chattels Real, LLC requires pre-approval and authorization prior to any home improvements.

If I refer someone to Chattels Real, LLC, will I receive a finder's fee?
Yes. Upon the signing of the lease by the referral, you will receive an equitable referral fee.