RentToOwn-HouseFinder.com

Are "rent to own" homes and homes for lease the same thing?

All of the rent to own homes in my area are on websites that make you either sign up to view them (which seems sketchy to me) or pay a fee to see them (which seems even sketchier). Are rent to own homes and homes for lease similar?

Public Comments

1. Rent to own home are a lease with an option to buy.
2. Rent to own is different than leasing. Leasing is basically renting for a set number of months and, at the end of the specified time, you move out and get nothing except maybe your security deposit back. Rent to own is a type of real estate purchase. An agreement is made that allows for a certain portion of the agreed monthly rent to go towards the down payment on the house. There is a contract that spells out the length of time that you must pay rent before the "performance" of the purchase and transfer of title. When the rental period ends, you either pay the remaining amount of the purchase agreement by obtaining a regular mortgage and the deed is transferred into your name or you move out and lose the additional money that you paid towards the down payment. The reason the websites are requiring sign up is because people who are interested in rent to own are interested in purchasing real estate and this is how realtors get leads. It is not sketchy, it is pretty standard for a realtor to only allow access to their for sale listings. Charging to view the property is something I have not heard of; however, in the REALLY expensive markets (viewing houses that cost millions of dollars), realtors will require proof of assets that substantiate your ability to qualify to purchase the property.