Ontario Oakville

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Buy a Home in Toronto – Even with with Bad Credit!

Posted by samanthas on June 15, 2012 in Home Living Tips with No Comments


Owning property is something that many people dream about and strive for in Canada. Buying a house can be a wonderful way to award yourself after years of hard work and late evenings at the office. Unfortunately, many people cannot qualify for a mortgage because of bad credit and no savings. Sandstone Management has a neat way to make things easier for you – the option of a rent to own home.

With tighter mortgage restrictions in place, getting a bad credit mortgage to buy a house by can be very tricky if you have a bad credit rating or have nearly no savings. Luckily, rent to own is a great solution where a tenant rents a property with the intention to buy it at a pre-determined price at some point in the future. In contrast to just paying rent, a certain amount from each month’s rent goes towards building equity for your downpayment. This way, you can get into a house with a smaller down payment – usually around 5%.

The friendly experts at Sandstone sit down with you and discuss your financial situation and determine how much you can afford to comfortably pay each month.  You then get to shop for a home in your price range.  They will negotiate the price of the home, check it for structural soundness, defects, fair value and more.  You get to move in right away and can decorate or make upgrades to the home.  The future purchase price of the house will be fixed upon signing the rent to own agreement.

You make your regular monthly lease payments on time, and they help you to rebuild your credit. Rent to own is a great way to get your credit into a better shape so that you could apply for a loan later on. Once your lease period is over, they help you find a mortgage lender. If the market price of the house goes up during the lease period, you will gain from the appreciation – since you are buying it for a pre-set price.  So you can build equity in 2 ways before you even own the home: real estate appreciation and monthly installment payments.

Sandstone Management experts help you to find the best possible solution for rent to own homes in Toronto. You can choose your dream house and move in right away, while you build or repair your credit.

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