Real Estate Done Right!

Lease To Own Frequently asked Questions


How does your lease to own program work?


Our lease to own program works slightly different than most traditional lease to own programs.  Once the tenant has been prequalified and is eligible for the program, the tenant is given a choice of a number of properties that are listed for sale in the price range they have been qualified for. This gives the tenant the opportunity to choose the home that will best fit their current and future needs.


The first step of the process is to meet with our Mortgage Broker in order to take a closer look at your financial situation. The intent is to pre-qualify the tenant to make sure that they will be in a position to qualify for a conventional mortgage within a 1-3 year time frame.


Once the tenant has be approved, and a price range has been determined, the tenant is asked to sign an “Intent to Occupy Agreement” and pay the activation fee (which is credited towards your initial deposit) After the” Intent to Occupy Agreement” has been signed and the deposit has been received, we go to work finding you a home within your price range.



What does your program cost?

Our activation fee is $500 and is only charged after we approve your file. Due to high administration costs, this fee is non-refundable. Upon successful completion of the lease to own transaction, the activation fee will be credited toward the deposit of the Lease to Own Agreement.


How much of a deposit do I need?

In order to qualify for our program, you will need a minimum of $7500.00 or 3% of the current homes value (which ever dollar amount in greater). The deposit is credited toward the purchase price at the end of the lease term. The minimum deposit is 3%, however you can put down more than the minimum deposit if desired. The larger the deposit, the more flexibility there is when determining the tenants monthly lease payments.


How much of a monthly credit do you give back?

Your monthly credit will be worked out based on your initial deposit and the cost to own this home (i.e. Mortgage Payment, Property Taxes, Insurance) Typically the monthly credit equates to 10%-15% of the total monthly payment.   


What other expenses are we responsible to pay for?

You are responsible to have tenants insurance, pay all utilities, maintain the home & yard and pay for any repairs that occur during the lease term. The investor will ensure that the mortgage, property taxes and property insurance are paid during the lease term. Once you purchase the home, you are responsible for all costs.


How long does the whole process take?

Once the contracts have been signed, generally a minimum of 6 weeks is required before you may take possession of your new home.


Can I have a Professional Home Inspection done on the property?

Yes, you are required to have a Professional Home Inspection done on the property prior to occupying the property. The approximate cost for a home inspection is between $425- $550, to be paid by the tenant. If the property is on a Well or Septic System, these areas will also need to be inspected by a professional, to protect your investment. This is to be your future home and due diligence is required before finalizing the purchase.

What happens if I am unable to make my payments?

As with any lending institution, we require that you honour all obligations under the terms and conditions of our contracts. You must be able to make all of your payments on time. Non-payment is a breach of contract and would be considered a “default”. A “default” would deem your option to purchase contract null and void. If there are extenuating circumstances, we will do our best to work with you to get you back on track.


What happens if I can’t purchase the house at the end of the Lease Term?

If you stick to your credit repair plan, you should have no problem qualifying at the end of the lease term. If the reason is due to a job loss or a last minute spending spree, the situation would have to be discussed further to what other options may be available.                                         If you are genuinely making strides in repairing your credit or saving a down payment, there are things that can be done, such as a lease term extension.                                                            Our ultimate goal is to help you purchase your own home!


What happens if I walk away from my Lease Option term?

If you choose not to complete your obligations at any point throughout the lease to own term, you will forfeit your initial deposit and any monthly credits that you have accumulated.   


Is there any warranty or guarantee on the property?

We do not provide any warranty or guarantee for the property. We are experienced in real estate transactions and practice care and diligence, however sometimes there are unforeseeable set-backs or unfavourable economic conditions for which we have no control over and therefore cannot be responsible for.                                                                                          That being said, history has proven that owning real estate is one of the best ways to build long term wealth.


Who are candidates for this program?

This lease to own opportunity is not for people without money, in fact quite the opposite!


This program is meant to help people that either lack the credit score needed to get a mortgage on their own or for people that have the monthly income to support a mortgage payment but are lacking the down payment to qualify for a mortgage.


Ideal candidates for this program are:

-Those With No Credit History

-Those New to the Country

-People Who Have Been Through Bankruptcy

-Those With Past Health Issues

-Small Business Owners

-Those That Have Just Recently Gone Through a Divorce

-Victims of Identity Theft

-Those Who Have Made Mistakes in the Past (But Are Eager to Get Their Life Back on Track)

Kevin Kittmer