BREAKING

Tuesday, September 29, 2020

Is "Rent-to-own" more like a scam than a convenience?


Wazzup Pilipinas!

Ano nga ba difference ng "Rent-To-Own" sa purely "Rent" a condo?

"The rent-to-own setup is vulnerable to scams and shady landlords. As the tenant, you take on most of the risk in a rent-to-own contract. You're the one paying more than necessary in rent each month with the promise that the owner will credit the amount toward the purchase price someday."

Deceiving ang "rent-to-own" term dahil hindi totally paying a monthly rent ang peg which sorts of makes it a scam of condo or house brokers or sellers ... dahil you are not really fully "renting-to-own" as expected.

It's more like they just made it easier for a buyer to pay for the .... let's say 20% bulk downpayment (which you can now pay within 6 months for example.. while already occupying the property)....and the rest is the usual scheme of getting a bank to approve your loan of the bigger part of the actual cost.

Real "rent-to-own" per se should be paying a monthly rental until you have completely paid for the property.

There should not be a third party like a bank that you have to owe a loan. Because banks require a lot of documents and qualifying criteria before they could approve your loan.

"Unlike traditional financing, rent-to-own is owner financed, which means that the owner is the one offering financing to buyers. As a result, lessees pay rent that is slightly above market rate. This is because a portion of it will go to the down payment for the property in the event that the lessee decides to purchase it. In such case, he or she must arrange for financing, either through a bank or other lending institution, to pay for the remaining balance."

About ""

WazzupPilipinas.com is the fastest growing and most awarded blog and social media community that has transcended beyond online media. It has successfully collaborated with all forms of media namely print, radio and television making it the most diverse multimedia organization. The numerous collaborations with hundreds of brands and organizations as online media partner and brand ambassador makes WazzupPilipinas.com a truly successful advocate of everything about the Philippines, and even more since its support extends further to even international organizations including startups and SMEs that have made our country their second home.

Post a Comment

Note: Only a member of this blog may post a comment.

Need professional help with your papers? - Visit this writing service supported by the best academic writers.
 
Copyright © 2013 Wazzup Pilipinas News and Events
Design by FBTemplates | BTT