You are probably already familiar with the terms lease and rent, and while they are often used interchangeably, they don’t mean the same things when it comes to a home. In today’s post, we’ll take a look at what some of the differences are, as well as how you can benefit from a lease-to-own home. IPS Amarillo Homes loves helping people discover that it is possible for them to afford the perfect home for their family. If you are interested in a lease-to-purchase home in Amarillo, then call today and learn how we can help you.

Context Matters

When you talk about renting a car, you could be referring to a short-term rental during a vacation. Leasing a car usually involves making monthly payments for a period of months or years. These terms have different definitions, however, when it comes to homes. A rental agreement for a home usually covers a period of 30 days, which expires and then renews each month upon the agreement of the parties involved. Leasing a home involves a set period of time — usually 12 months — in which the tenant cannot vacate early, nor can the landlord raise the rent without repercussions

Rental Homes

Rental homes are exactly what the name implies — homes that are available for rent, typically on a month-to-month basis. Sometimes, people want the benefits of a home without all of the responsibilities of home ownership, such as a mortgage and repair bills. A home offers more space and privacy than an apartment does, and if you have children or pets, then the extra space both indoors and out can be ideal. In fact, renting a home frees you from the added responsibilities of paying the taxes and insurance as the landlord will likely roll these into your monthly rent.

Lease-to-Own Homes 

Lease-to-own homes offer the best of both worlds for those who wish to eventually own their own home. A lease-to-own agreement starts out as a typical lease, but the difference is that, when the lease term is up, a portion of the money you have spent on rent will be applied to the purchase price of the home. You can take advantage of the time you are living there to get a feel for the neighbors and the neighborhood as well as the home itself. You have the chance to discover what you like about the home, determine if you want to purchase it once the lease is done, and have the freedom to walk away if you change your mind.

When you choose the lease-to-own option, you are able to lock in a purchase price that works for you regardless of whether the market price rises or not. If the market price falls and you want to back out, then that option is also available in this framework.

IPS Amarillo Homes understands that purchasing a home can be scary and even impossible for some families. We want to help your family find a house that is perfect for you, which is why we offer lease-to-own homes. If you are wondering if this option will work for you, then contact us today and let us show you the possibilities.