Chosen by Asker

The law is, there is NO law. A rent-to-own is not a purchase contract, it's a glorified rental agreement and falls under general contract law, and it only gives you first option to purchase the house on a pre-arranged price and pre-arranged earnest money. Keep in mind, that most of these contracts state that ANY deposit you put down (and these are usually substantially larger than what you would put down on a normal rental) will be forfeited if you are late or choose not to purchase the home. The kicker is the landlord usually will make you responsible for all taxes and maintenance when an option contract is in force. This is why I NEVER recommend them...they are always rip-offs, most people will sign one and never get THEIR OWN attorney to review it, and there is no such thing as a standard contract in the industry and 99% of Realtors are unfamiliar with these transactions.

by Expert Realtor

4 months ago

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