Rent-to-Own definition

Rent-to-Own is also sometimes called “Lease Purchase.” Many contracts use Lease Purchase as the title, but it’s basically the same thing as Rent to Own. It means that you are entering into a contract to rent a house or mobile home, and that you will someday own it if you and the landlord/seller fulfill the terms of the contract. The contract should set out the specifics of what must be done in order to become the owner after you’ve rented for a certain period of time. The details that should be in such a contract are discussed later in this article. The typical rent to own contract says that you will pay monthly rent for a certain period of time, that some or all of the monthly rent will be applied to the purchase price, and that you will someday become the owner. Until the time comes for you to be the owner, you are considered to be a tenant with a lease, and the usual landlord-tenant laws will apply to your tenancy. The contract may require you to pay an up-front amount in addition to the monthly rent and deposit. This may be similar to a down payment, or it may be considered payment for an option to purchase. (See the next section.) The contract may say that you will be renting for a certain number of months or years, and at the end of that time you will have to pay off the full amount owed to purchase the home. What is a “Lease with Option to Purchase?” A “Lease with Option to Purchase” is slightly different from a regular Rent to Own contract. A Rent to Own contract usually just says that part or all of the monthly rent payment will be applied to your eventual purchase price of the home. A Lease with Option to Purchase, on the other hand, means that, in addition to your monthly rent, which may be applied to the purchase price, you agree to pay an amount of money just for the option to buy the home at some time in the future. This can be any amount, as agreed by the parties, but may be as little as $1,000 or as much as $10,000 or more, just by way of example. There is no required set amount. What you are buying is the “right of first refusal.” This means that, when you pay the agreed amount for the Option to Purchase, the landlord/seller can’t sell it to someone else without first giving you the opportunity to buy it. (As children, we may have said “I’ve got dibs on buying this house.”) The price you pay for the option may or may not be applied to the purchase price of the home if and when you decide to exercise your option to buy it. That depends on what you and ...
Sample 1Sample 2Sample 3
Rent-to-Own means the purchase or rental of any good or service with payments over time and the option to purchase the good or service.ORDER
Sample 1Sample 2
Rent-to-Own means housing unit owned by the Band until the mortgage and all debts have been paid by the agreed upon home-owner, for the full length of the mortgage, at which time ownership will be transferred to the agreed home-owner and a Home Ownership Agreement will be signed;
Sample 1

Examples of Rent-to-Own in a sentence

  • Rent to Own – An agreement where the tenant has the option of purchasing the dwelling unit.

  • Property Maintenance – While typically a landlord’s responsibility, many Rent to Own Agreements require the tenant to maintain the property and pay for repairs.

  • Rent to Own Subsequent Payment Period: 6 months starting on (03/01/2021), after completion of this rental period ownership will transfer to USER.

  • This Rent to Own Schedule is entered into in connection with, and is subject to the terms and conditions of, the Master Rental Agreement entered into by the parties as of 2021.

  • For situations where a buyer would first like to rent the property as they save up the money to purchase the property, a Residential Rent to Own Agreement or Commercial Rent to Own Agreement should be used, depending on the type of property.

  • Megger dba SebaKMT User By: By: Name: Xxxxxxxxx Xxxxxx Name: Xxxx Xxxxxxxx Title: CFO Megger US Title: Town Manager SCHEDULE A-1 FORM OF RENT TO OWN SCHEDULE This Schedule A-1 is entered into as of (the “Order Date”) by and between Megger, and the User executing this Rent to Own Schedule.

  • In the event of a conflict between the terms of this Agreement and the terms of a particular Rent to Own Schedule, the terms of the Rent to Own Schedule will control.

  • I have decided to participate in Auburn High School’s Rent to Own Program to to purchase my student’s Chromebook.

  • Upon termination or expiration of the applicable Rent to Own Schedule, User will: (i) return the Equipment in the same condition as that in which it was delivered, except for normal wear and tear; and (ii) ship (at User’s expense) the Equipment DAP Megger’s designated facility (Incoterms 2010).

  • Rent to Own Agreement includes many of the same terms as a standard Lease Agreement, prior to entering the private workforce, consider implementing a capital lease agreement.


More Definitions of Rent-to-Own

Rent-to-Own agreement is nothing more than a standard lease agreement that offers the tenant an option to purchase the property at a pre-determined price. It can sometimes involve a portion of the monthly payment being applied toward the future purchase price. However, this agreement is rarely ever filed of record and offers no protection to the Tenant. WHY DO I PAY A DOWN PAYMENT or OPTION FEE? That is a great question? There are very few instances that you should pay a down payment or option fee associated with a “Rent to Own” agreement. Because there is no public record of this agreement you could very easily wind up losing this money if the owner of the property sells the property, is foreclosed upon or if you fail to pay your rent.
Sample 1
Rent-to-Own means where Products are rented to a customer with the intention that the customer will, subject to the terms and conditions set out herein and in the Rental Contract, own such Products;
Sample 1
Rent-to-Own agreement is nothing more than a standard lease agreement that offers the tenant an option to purchase the property at a pre-determined price. It can sometimes involve a portion of the monthly payment being applied toward the future purchase price. However, this agreement is rarely ever filed of record and offers no protection to the Tenant. WHY DO I PAY A DOWN PAYMENT or OPTION FEE? That is a great question? There are very few instances that you should pay a down payment or option fee associated with a “Rent to Own” agreement. Because there is no public record of this agreement you could very easily wind up losing this money if the owner of the property sells the property, is foreclosed upon or if you fail to pay your rent. DOES PART OF MY MONTHLY RENT GO TOWARD THE PURCHASE PRICE? This is a great question to ask, however it should not be the focus. Rather, the focus should be on whether you are paying an acceptable market rent for the property. Many times, a property owner will overprice the monthly rent in order to offer a portion of it back to you “if” you purchase the property. This can backfire if the owner sells the property, is foreclosed upon or if you fail to purchase the property by the contract deadline. In any of these cases all of these increased payments will be lost. Instead of expecting a portion of the monthly payment to reduce the purchase price, a simpler approach is to request that the owner pay a percentage of your closing costs upon purchase of the property. With this approach, you are never overpaying for something and putting your hard earned money at risk. REPAIRS AND MAINTENANCE. WHAT IS MY RESPONSIBILITY?
Sample 1

Related to Rent-to-Own

  • Monthly Rent means the monthly installment of Minimum Annual Rent plus the monthly installment of estimated Annual Operating Expenses payable by Tenant under this Lease.

  • Base Rent As defined in Section 3.1.

  • Fixed Rent shall have the meaning set forth in Section 1.1 hereof.

  • Base Rental means the sum of Seven Hundred Nineteen Thousand Two Hundred Sixty-Eight and NO/100 Dollars ($719,268.00), payable by Tenant to Landlord in sixty (60) monthly installments as follows:

  • Initial Rent means [ ] (£[ ]) STERLING yearly (exclusive of any VAT);

  • Rent Payment means the amount payable by Lessee for the Assets as specified in the applicable Schedule.

  • Annual Rent means the amount payable by Tenant to Landlord in respect of each year of the Term under Article 4.01.

  • Renewal Rent for the Aircraft means the rent payable therefor in respect of a Renewal Lease Term determined pursuant to Section 17.2.2 of the Lease.

  • Annual Fixed Rent See Exhibit A, and Section 3.1.

  • Annual Renewal Date means the date in any calendar year, subsequent to the year in which the Policy comes into effect, corresponding numerically with the Policy Commencement date in that subsequent year.

  • Rent as used in this Section 21 shall be deemed to be and to mean all sums of every nature required to be paid by Tenant pursuant to the terms of this Lease, whether to Landlord or to others. As used in Sections 21(c)(ii)(A) and (B), above, the “worth at the time of award” shall be computed by allowing interest at the Default Rate. As used in Section 21(c)(ii)(C) above, the “worth at the time of award” shall be computed by discounting such amount at the discount rate of the Federal Reserve Bank of San Francisco at the time of award plus 1%.

  • Additional Rental has the meaning set forth in Section 4.03.

  • Basic Rent means Basic Rent as defined in Paragraph 6.

  • Additional Rent means any and all amounts, other than Basic Rent, required to be paid by the Tenant under this Lease, whether or not same are designated “Additional Rent” or whether or not the same are payable by Landlord;

  • Gross Rent means the rent for a set-aside unit, including any applicable utility allowances, in compliance with the rent limits applicable to the property for 2020. Gross rent does include optional fees included in the household’s lease, including but not limited to, washer/dryer, cable, parking, etc., as long as they are included in the lease or addendums to the lease. In addition, when a utility that is purchased from or through a local utility company by the Development, who in turn bills residents for actual consumption of the utility will also be eligible when the applicable utility allowance for the Development includes a deduction for the utility and the household’s lease specifies that the resident is responsible for the utility.

  • Additional Rents means amounts payable under any Lease for (i) the payment of additional rent based upon a percentage of the Tenant’s business during a specified annual or other period (sometimes referred to as “percentage rent”), (ii) so-called common area maintenance or “CAM” charges, and (iii) so called “escalation rent” or additional rent based upon such tenant’s allocable share of insurance, real estate taxes or operating expenses or labor costs or cost of living or xxxxxx’x wages or otherwise.

  • industrial premises means any place or premises (not being a private dwelling house), including the precincts thereof, in which or in any part of which any industry, trade, business, occupation or manufacturing is being ordinarily carried on with or without the aid of power and includes a godown attached thereto;

  • Sublease means a lease of goods the right to possession and use of which was acquired by the lessor as a lessee under an existing lease.

  • Rent Schedule means a written schedule for the Mortgaged Property showing the name of each tenant, and for each tenant, the space occupied, the lease expiration date, the rent payable for the current month, the date through which rent has been paid, and any related information requested by Lender.

  • Commercial Premises Means a place of trade or premises operated for financial gain, including but not limited to, a retirement village or a block of flats that has a common facility; a place of trade where the manufacture and production of products or produce takes place; a site where renovation, restoration and refurbishment work as described in Appendix B takes place.

  • Annual Base Rent means the business’s annual lease payment minus taxes, insurance and operating or maintenance expenses.

  • Fixed term tenancy means a tenancy that has a fixed term of existence, continuing to a

  • Minimum Rent means the sum of Sixty-Six Million One Hundred Seventy-Six Thousand Five Hundred and Twenty-Six Dollars ($66,176,526) per annum; subject, in each case, to adjustment as provided in Section 3.1.1(b).

  • residential premises means a house, building, structure, shelter, or mobile home, or portion thereof, used as a dwelling, home, residence, or living place by 1 or more human beings. “Residential premises” includes an apartment unit, a boardinghouse, a rooming house, a mobile home, a mobile home space, and a single or multiple family dwelling, but does not include a hotel, a motel, motor home, or other tourist accommodation, when used as a temporary accommodation for guests or tourists, or premises used as the principal place of residence of the owner and rented occasionally during temporary absences including vacation or sabbatical leave.

  • Original Lease shall have the meaning given such term in the recitals to this Agreement.