The Financial Crisis A New Market For Rent - 900 Words

The 2008 financial crisis which displaced many home-owners created a new market for rent to own real estate properties. The recession caused home ownership to become unaffordable for average middle- and working-class citizens. This resulted in a clamor for affordable housing for millions of Americans who had lost their savings, their investments (homes), and their reputations (credit.) Rent to own (RTO) is a good option if you need to buy yourself some time. There are many advantages to RTO as opposed to renting without the option to buy. When you rent to own you get to move in immediately and you won’t have to move again when you’re ready to buy because you already live in the house you are purchasing. This relieves a lot of hassle and expense. Renting a house with the intention to eventually purchase will set you on a path of accountability. When rent to own is not an option people have a tendency to lollygag, renting for several years without making any progress towards their goal of home ownership. A house may be the biggest purchase of your life, so the pressure causes people to procrastinate. When home ownership is the goal, your steps should be to improve your credit and save money to buy the house. Being on a RTO program keeps you on a schedule in an organized, systematic way. This accountability can be crucial to someone whose dreams of home -ownership have been dashed by the economy. A portion of the rent you pay monthly works towards the down payment of theShow MoreRelatedCommercial Properties Of Commercial Property Development1349 Words   |  6 PagesCommercial property is one that is â€Å"intended to produce a financial return for its owner by being used or occupied by businesses† (British Property Federation, 2014) with the financial return being rent received from a tenant or a change in the capital value of the property. Commercial property includes offices, retail premises, restaurants, hotels and more. As with any other type of property commercial property is vulnerable to various factors that can make it a more or less attractive investmentRead MoreThe Housing Crisis Of Boomerang Buyers954 Words   |  4 Pages Following the 2006-2008 housing market crash, 4.8 million of homeowners lost their most valuable assessment to foreclosure, and another 2.8 milliongave up their homes in short sales. 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