What is the Real Truth behind Rent to OWN ... What makes your program so Unique?

Rent to OWN - Revealed
COMPARISON:  Rent to OWN vs Qualifying for your own Bank Financing - The Real Truth

  • Monthly Payments - more reasonable than you think!

    It's true Rent-to-OWN payments are higher than normal rent but really no different than what it would cost to own your own home while putting some extra savings aside.  Our all-inclusive Rent-to-OWN payments are actually cheaper than paying a 5% interest rate mortgage, when you factor in that 20% of your monthly payment every month is credited towards your future down payment!  Our Rent-to-OWN payments include a forced-savings plan built right into your payment, so saving up for your future down payment becomes Simple and Automatic.

    Sure you could keep renting some small old apartment, paying off someone else's mortgage while you try to save up a large enough down payment and repair your own credit , hoping you can keep yourself on track... but with all the benefits of our unique Rent-to-OWN program - why would you want to?  Why not move into the home of your choice today (and treat it like you own it) while you enjoy the convenience of automatic savings, gain friendly credit advice, protect yourself against real estate price increases and best of all, never have to move again!

    We treat you like a home owner - so if you want to get a dog, paint the living room, replace the carpet, install hardwood floors, build a deck or garage, change the blinds, finish the basement... practically whatever you want, we'll let you do it, because we realize it will soon be your house so why not start to increase the value of your home today!  Does your current landlord give you that kind of freedom?

    Need an example of how payments compare?  For your convenience we've provided one for you below (note - payments may differ based on area, property and a few other factors unique to each purchase):

    Traditional Bank Mortgage:  5% interest, 25 year amortization
    Purchase Price $ 300,000 350,000 400,000 450,000 500,000  
    Down Payment + Closing $ 19,500 22,750 26,000 29,250 32,500 5% (minimum) + 1½% closing costs
    CMHC Insurance $ 8,978 10,474 11,970 13,466 14,963 3.15% (mandatory fee, non-refundable)
    Mortgage Amount $ 293,978 343,974 391,970 440,966 489,963 includes CMHC insurance
    Interest Rate % 5.00 5.00 5.00 5.00 5.00 5 year, closed (assumes good credit)
    Mortgage Payment $ 1,710 1,995 2,280 2,565 2,850 monthly
    Property Tax $ 153 178 203 229 254 (2014 Mill Rate 0.0061029 in Calgary)
    Homeowners Insurance $ 75 87 98 114 131 standard building insurance (fire, etc)
    Total Monthly Payment $ 1,938 2,260 2,581 2,908 3,235 mortgage, property tax & insurance

    Rent to OWN:  20% monthly rent credit towards future down payment
    Purchase Price $ 300,000 350,000 400,000 450,000 500,000 (we will negotiate the best possible price)
    Initial Payment $ 15,000 17,500 22,000 27,500 30,000 5-10% (minimum, no closing costs)
    Total Monthly Payment $ 2,400 2,800 3,200 3,600 4,000 includes forced-savings (20% credit)
    Option Credit $ (480) (560) (640) (720) (800) Monthly Credit (forced-savings plan) 
    towards your future down payment
    Rent Portion of Payment $ 1,920 2,240 2,560 2,880 3,200 (lower than above mortgage payment)

    As you can clearly see, our Rent-to-OWN payments are very reasonable and include a generous forced-savings component designed with your future purchase in mind.    We don't leave things to chance when it comes to helping our clients qualify for their own financing at the end of the term.  You benefit by; accumulating a significant down payment, not having to pay ridiculous interest rates, and best of all - living in the home of your choice - today!

    Why bother renting something you don't like when you can Rent to OWN something you love?
  • Initial Payment - 100% credited towards your future purchase!

    Your initial payment, in addition to your accumulated monthly credits, are 100% credited towards your future down payment when you purchase!  That's right - your ENTIRE initial payment and monthly credits are paid back to you!

    I know that sounds great, but we also want to disclose the reality of what happens if you change your mind and decide you no longer want the house that was purchased specifically for you.  The best approach is to show you exactly what happens, either when dealing with the bank or with a Rent to OWN.  The truth is - it costs a lot of money to sell a home.  You deserve to know how these things really work, rather than us giving you an answer that you might not understand or agree with.  Buying a house is a serious investment, and we want to help committed people make Home Ownership their reality.

    The following comparison outlines the common expenses incurred when selling a home:

    Traditional Bank Mortgage:  Buy, then decide to Sell
    Purchase Price $ 350,000 original purchase price
    Sale Price $ 350,000 assuming it hasn't changed, for simplicity
    Original Down Payment $ 17,500 5%
    Less CMHC Insurance Fee $ 10,474 non-refundable, 3.15% default insurance
    Less Initial Closing Costs $ 5,250 non-refundable, up to 1.5% of purchase price
    Less Mortgage Payout Penalty $ 4,200 3 months interest (minimum, likely higher)
    Less Realtor Commissions $ 14,500 standard 7/3 commission rate
    Less Closing Costs $ 1,200 legal bill (likely much higher)
    TOTAL cost to sell $ 35,624 you would lose a minimum $35,624 by selling
    Remaining Down Payment $ -18,124 your original down payment would be
    insufficient to cover the costs of selling,
    you would still owe another $18,124 - ouch!

    Rent to OWN:  Enter purchase agreement, then change your mind
    Purchase Price $ 350,000 (we will negotiate the best possible price)
    Sale Price $ 350,000 assuming it hasn't changed for simplicity
    Initial Payment $ 17,500 (minimum)
    Less Mortgage Payout Penalty $ 4,200 3 months interest (minimum, likely higher)
    Less Realtor Commissions $ 14,500 standard 7/3 commission rate
    Less Lawyer Closing Costs $ 1,200 legal bill (likely much higher)
    TOTAL cost to sell $ 19,900 it will cost a minimum $19,900 to sell
    Remaining Down Payment $ -2,400 your initial payment would be insufficient
    to cover the costs associated with selling

    As you can clearly see, your initial payment would be insufficient to cover all of the costs associated with changing your mind after you purchase, either with the bank or with a Rent to OWN.  That is the risk we take.  In the case of the bank, they require you to buy CMHC insurance when you purchase (which only protects them, not you) so they are insured against any loss.  With a Rent to OWN, there is no such insurance available to the investor that agreed to help you, which is why our investors are really making a huge investment in you.  As you can see, changing your mind after you have already committed to a house would result in significant expenses to the investor and they will likely have to pay much more out of their own pocket just to liquidate the property that they had purchased specifically for your benefit.  That is why we will work as hard as you to make sure you can qualify to purchase at the end of your lease, because we have a lot at risk too!

    REMEMBER:  100% of your initial payment, plus your accumulated monthly credits, are credited towards your future down payment!
  • Purchase Price - Guaranteed, no matter how high prices go, your payments are locked in!

    When your Rent to OWN term begins, both your monthly payment and your future purchase price are agreed upon and locked in.  This means that no matter how crazy the real estate market goes, you've secured a great price and you will directly benefit from any increase in value to the home above what you've agreed to pay!

    If you were to decide instead to continue renting elsewhere and not take advantage of our Rent to OWN program, you run the risk that house prices will continue to increase and you may never be able to catch up.  That's why we lock in your purchase price today ... so you know exactly what you're going to pay.  Anything else just wouldn't be fair to you.  We use a conservative appreciation approach when determining prices so that you will benefit from market increases of the value of your home.  And because we're skilled negotiators - we'll save you even more by getting a great deal and a great price initially.

    Why run the risk of prices going crazy when you can lock in a great price and Rent to OWN your dream home today while we help you to remove any obstacles that may be in your way.  We will treat you like a Home Owner, because in our eyes, you already are.
APPLY NOW - Take the First Step Towards Home Ownership or view our Frequently Asked Questions if you would like more information.

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The MOST Trusted and Sought-After provider of Rent to OWN Homes in Alberta: Calgary, Airdrie, Red Deer County (Red Deer, Sylvan Lake, Penhold), Lacombe, Okotoks, Edmonton and more!

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