$75 – $99 Application Fee Per Household
Typically, when you lease a home, the process is as follows:
- You research homes available for lease on the market.
- You select a home you would like to lease.
- You complete a lease application, and submit that, along with a fee (normally between $35 and $50 per adult) to the landlord.
- The landlord reviews your application, and if they will consider you as a tenant, they will have you complete a Background Check and Credit Report.
- The Landlord may be reviewing several lease applications along with yours. Just because they are having you submit the application and accompanying fee, it just means they will consider you along with other applicants.
- If you are accepted, a lease agreement is negotiated and signed by all parties.
- You pay a security deposit between 1 and 3 months rent to secure the lease for the home.
With Home Partners of America ‘Lease To Own’ Option, there is a once-off fee of between $75 – $99 per household. It does not matter how many homes the landlord negotiates to buy, in order to be able to lease it to you! This is the only fee there is.
What will Rent be Year 1, Year 2, and Year 3?
The first years rent is negotiated based on the value of the home Home Partners agrees to purchase and lease to you. It is market related. Each year, your Monthly Rent increases by no more than 3.75% over the previous year’s Monthly Rent.
And if I want to buy the home?
Home Partners of America calculates the purchase price of the home as per the following example:
|Purchase Price (Price of the home purchased by Home Partners to lease to you).||$200,000|
|Make Ready and Repairs & Maintenance Costs||$7,000|
Right to Purchase Price Increases
Each year, the Right to Purchase Price increases by 3.5% to 5%.
In the example, if the Total Cost of the home is $210,000 and if the Right to Purchase increases by 5% (i.e., Prior Year Purchase Right Price x 1.05)* then the Purchase Right Price for Years 1-3 is as follows:
There are additional costs that the resident will incur if they exercise the Right to Purchase such as closing costs to purchase the home, including transfer taxes, attorneys’ fees, title insurance, and the cost of a mortgage loan. As a result, actual total costs to exercise the Right to Purchase will vary.