Paperwork checklist for a Rent to own home

Paperwork needed to qualify for a Rent To Own Home

Thank you for wanting to apply for our Rent To Own Home.

Here at Home Buyers Inventory, we have a Paperwork checklist to help you track the paperwork you will want to turn in to move into your new home with us.

The paperwork is very simple. It is the same type of paperwork you would need for any rental you were applying for.

The paperwork is important and will need to be submitted  for each person over the age of 18, who will be living in the home in order to qualify for our Rent To Own Home.

You should complete all the information thoroughly, and return it via our email at support@homebuyersinventory.com  or  fax it  to 1-866-848-4236 or you may give it in person, when you meet with our local team member.  

When, you as  a tenant buyer sign a Lease Agreement and a Lease Option Purchase Agreement, you agree to rent the property for a specified period, after which time you  can purchase the home from us. You are guaranteed the purchase price and the rent, during the term or time period.

Paperwork Checklist you need to submit:

a. Background checks

a.1  Photostat copy of your Driver’s License or picture identification card, social security cards

We are not worried about your credit score when we run background checks.  We know life happens and what people have on their credit reports. See we know what it’s like to have bad credit.  I had bad credit and a low credit score myself. So don’t be worried if you don’t have a high credit score. What we do look at is if you have had an eviction within the last 3 years.  

b. Income Stability

b.1 latest pay check stub – 3 months

b.2 In addition if you are self-employed a notarized letter stating how much you make.

We also know what it’s like to not be able to prove income when you are self-employed.  We understand because we face this ourselves. When you are self-employed you want to take all the write-offs  you can, which means your taxes show that you don’t make any income. That’s why we accept along with your taxes a notarized letter from you, stating your annual income, as your proof of income.

c. Financial Requirements

c.1 last year’s w-2 and copy of last year’s income tax return

c.2 bank statements, – 3 months

If you are an independent contractor you would provide a 1099 vs a W-2.

1.  Background Checks

We will likely check out your personal history to see if you have a criminal record or other legal problem. We want to make sure that you don’t have any legal complications that could complicate your lease. We  may consider your history as a tenant to ensure that you pay on time and that you have not been evicted. We want to find a trustworthy tenant.

2. Income Stability

We will want to be sure that you can afford the home.  We will want to see a copy of your pay stub to determine if you make enough money to pay the rent on the property. The rule of thumb is that your rent should be  42% percent or less of your income.

Additionally, we want to see that you are making a stable income. You have the means to improve your credit score if your income is stable. We will share with you the resources you can use to help you  improve your credit score over the next few years and qualify for a mortgage at the end of your lease. We will never set anyone up to fail, if they cant afford the rent on the home in the first place.

3. Financial Requirements

We require a lease option . The lease option fee depends on the home and goes toward the purchase price of the home, on paper as a credit, if you execute your option to purchase.  If you do not execute the option the lease option fee becomes non-refundable. Those fees will be listed in your rent to own agreement. Being able to pay for these fees will be a requirement to proceed with the rent-to-own agreement.

4. Credit Score

While there are not standard credit score requirements to sign a rent-to-own contract, we will likely check your score.

We want to see that you have a path towards improving your credit score so that you can qualify for a mortgage at the end of the lease.

Rent to own is a path to a sale which we will help you build your credit score.

Your credit score is just a baseline to help you get your dream home.

Use Your Best Judgment

Consider the above requirements when you’re deciding whether rent to own is right for you. Do you meet the qualifications? If you can, now might be a good time for you to consider rent to own.

If not, how can you work towards meeting them so that you can benefit from a rent-to-own agreement in the future?

Meeting the above requirements will bring you closer to qualifying for a lease with option to buy and to purchase your own home.

TO SCHEDULE AN APPOINTMENT FOR A VIEWING visit our website at www.homebuyersinventory.com or you may call us at  (330) 406-9464.

Please feel free to call us or leave a message or comment in our Facebook account.  You can also email us at support@homebuyersinventory.com Please visit our Faq’s for more info3.