Switch from Rent to Owning Your Home

How to use Rent as a starting point towards Home Ownership

Brief History 

Rent to buy or Rent to Own, is a program that’s been around for a while and began in Europe in the 1950s. The idea behind the strategy was to provide the framework that would enable renters transition to home ownership status, using mechanisms that aggregated and leveraged their rental payments into mortgages.

It put ownership within the grasps of renters, created more ownership of homes, which grew enterprise and the economy; making it popular, and another avenue for creating home ownership in the Real Estate market.


Simply put; a renter pays for a property they occupy, usually monthly, which can then be transitioned into a mortgage payment at an agreed time – usually 3 years –  between the renter and landlord. There are legal terms that support this kind of agreement, mainly to protect both parties, but the most simplistic view would be just that – transitioning rent to a mortgage.


Because the transition period begins at year 3 of the arrangement, the provider of the program would already be in possession of all the financial requirements and obligations normally requested before you can buy house.

The renter would have proven their ability and consistency in meeting the responsibility entrusted to a home buyer, with the bonus of potentially dealing with the same lender, that offered the program.  

Keeping everything in-house, means that the renter’s needs are assessed and organized in one place, without being handicapped by lack of capital or weak credit scores, which combines to make the transaction a seamless one.

Who can Benefit from Rent to Buy

A Rent- to-buy program is targeted towards people who currently rent, but want to get on the home ownership ladder, so it will primarily apply to the following types of people;

  1. You have a weaker credit scores that disqualifies you from traditional mortgages
  2. You are unable to afford down-payment for a Mortgage.
  3. If you or your family have been in a divorce or suffered bereavement
  4. You are temporarily employed, but like the idea of owning property in a high population area like Houston
  5. Sellers who are transitioning while their home is on the market in the short term can also benefit from this.

Obviously, this is not an exhaustive list, and the Rent-To-Buy option can apply to most people who fall short on affordability of buying a home or obtaining a mortgage.

How it Works

To qualify for Rent to Own program, which enables you to:

  • Buy your own home with approval for up to $400k
  • You can live in your home, paying a rental fee for up to 3 years
  • At the end of 3 years, you decide if you wan to buy or move – without any obligation.

 If this sounds like an attractive prospect, complete the form below or contact me on 832.444.9912

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