This is a normal occurrence. Some landlord will inform the tenant that if you pay the monthly rent on time each month for a year, I will consider selling this house to at that time.
Some tenants take the landlord up on the offer, most don't for some reason.
If you would be applying for an getting approved for a mortgage loan, your lender would make a mortgage loan to you based on the appraised value of the property minus the down payment you put down.
If you are approved for a FHA mortgage loan and the appraised value is $150,000. Your down payment would normally be $5250.00. at the normally FHA down payment requirement of 3.5%.
Your mortgage lender loan amount would be $144,750.00. Your mortgage lender would never exceed the appraised value of the house you are purchasing.
The seller could not add potential rent to come up with the value of the property. The appraisal would set the value of the property. This is what you would be required to purchase the property for.
If the landlord do want an additional amount of money for the property, you would be required to pay this additional amount. Your mortgage lender's loan amount would be based on the appraised value of the house and your down payment.
Keep in mind that you would be required to pay for a certain portion of the closing cost, such as points and fees for the mortgage loan the appraisal, if you so desire you would also be required to pay for inspector, prorated taxes and an annual hazard (fire) insurance policy required by your mortgage lender.
If you are paying all cash, you would avoid the cost of the mortgage loan and would not pay for points and fees. You would need to pay for an appraisal to make sure the house cost what other properties are selling for in your neighborhood. You would not be required to pay for the annual insurance policy, though it is recommended.
I hope this has been of some benefit to you, good luck.
"FIGHT ON"
Yes but only if the landlord wants to sell the house. If the landlord doesn't want to sell then you can't force them. Some landlords have houses that they always rent. If this is the case then they probably won't want to sell the house.
Yes, it's possible.
If Tom had a lot of money, Tom would have bought a house in the first place instead of renting it.
Off course it is possible if the landlord wants to sell the property
It happens. But only if the landlord is willing to sell of course.
only if the land lord wants to sell
Uh, yes. Renting the property doesn't trigger any law that prohibits the owner from selling to the tenant.
Yes, you ask they tell you whether they would sell the house or not if they don't want to sell you can't. However, if they are willing to sell the house he can buy it. There is no law prohibiting such practices.
Yes
maybe...sure, if you want to overpay...figure it rents for a thousand per month...add 4 years worth, about 50 grand...average house in the area sells for 200K you pay 250K........sounds fair to me
- I was wondering if it was possible for people to buy house a landlord would own .
Like say Tom is currently living in a rented house. And say Tom has a lot of money, would Tom be able to ask the landlord for the houses price and then he can buy the house from him?
Is this possible?
of course.
