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Rent to Own
 

Are you wondering how you will ever get onto the housing ladder?

Are you finding it difficult to get a mortgage in the current market?

Are you finding it difficult to save a deposit?

Are you fed up with wasting money whilst you rent?

 

We may have the answer for you -

 

We are offering a revolutionary way to help first time buyers (or even second time buyers) to get on the property ladder with our Rent to Own Plan - An easy and affordable way towards home ownership. You can be moving into your new home within weeks without a mortgage, without waiting to save up the deposit, without the stamp duty, without the fees....

 

Many people recognise that it's a perfect time to buy a property right now - prices have been coming down (a lot) and we're looking at 2004-2005 prices at the moment as the housing market has declined quite sharply since the 2007 high.  Some areas in Bolton have declined around 20% in the past 18-months - that means a £100,000 house is now worth around £80,000 in those areas... effectively back to the 2004-5 price levels. 

 

It's a great time to buy property, but many people simply cannot get a mortgage to fund their dream home and they're stuck, either living with parents until their late 20's or early 30's or continuing to rent a house that's now un-suitable (e.g. family with 3 children living in a 2-bedroom terrace with no garden)

 

These are the main reasons why people cannot get mortgages right now :

 

  • They haven't saved up enough deposit money - you may require anything from £10,000 to £20,000 in todays market.

 

  • Lenders have tightened up lending criteria - you have to have an excellent unblemished credit record to qualify to get a mortgage, but even then, you still may require a very large deposit.

 

  • Not got 3-years accounts if recently became self-employed

 

  • Less than 3 years residency in the country

 

Also, many lenders have left the market in the past 2-years - there used to be over 9,000 different mortgage products to choose from. 

 

Last time I checked, there was less than 600 (a drop of 93%) of that being offered in the marketplace as lenders pulled mortgage products almost as fast as they used to give out bankers bonuses.  As I type this, there are only 2 lenders offering tracker mortgages - there were over 1000 tracker mortgages in 2007.

 

There could be dozens of reasons why you can't get a mortgage and you lose that perfect house....

 

 

Is there a solution?

 

What if you could move into YOUR new home right now..... without a mortgage?   

no hefty deposit...

no perfect credit score required....

no stamp duty....

no survey fees...

no lender arrangement fees...

no broker fees...

no solicitors fees...

....and you can move in within weeks, not months.

 

It's a new concept.  It's revolutionary (it really is!).... it is simple, transparent and completely legal (all done through solicitors)

 

How does it work?

 

Think of buying a car on a hire purchase plan.  Have you ever bought a car like that?  You pay some starter money when you get the keys, then you make a monthly payment and at the end of the 3-year plan, you then buy the car at the fixed price that you agreed 3-years earlier when you first took out the lease... The final price of the car is based on how much starter money you paid at the beginning and how much your monthly payments were, as these are added together and knocked off the car's original price.

 

It's a similar concept, but you're buying a home with it, rather than a depreciating tonne of metal and rubber!

 

Legally, it's known as a "purchase lease option agreement". 

 

You pay a small upfront option fee (the "getting started money"), typically around 3-4% of the house price, to get you started.

 

Then you make an agreed payment each month (which consists of 2 parts: the normal rent for the property and a small additional option fee (known as the "super-rent") which counts towards the purchase price - typically around 20% of the rent). 

 

At the end of the 3-year period (it could be 4 years or 5 years... it's your choice) that "getting started money" you paid and each of the monthly "super-rents" all get added up together and this is used as your mortgage deposit for when you buy the property from us. 

 

So, if you're buying a £100,000 house and you need a 10% deposit, we will ensure that you have saved £10,000 with us over the 3-year period, so you only need a 90% mortgage to buy the house.

 

Furthermore, we will discount the house further if you add value to it.  We can give you, say, a £10,000 works credit if you wish to install and pay for a new kitchen or bathroom, decorate, etc... (to your taste, not ours... it's going to be your home afterall)... so you may only require a £80,000 mortgage as we have knocked £20,000 off the purchase price (the £10,000 deposit and £10,000 works credit).  

 

You can update the house and you keep all the profit - it's a truly brilliant concept!

 

This is a great system as it helps you get a mortgage after 3 years for the following reasons :

 

  • Affordability -  Yes you can afford the mortgage, we prove to the lender that you've been making monthly payments to us that are MORE than the mortgage payments you want to take out and have done so consistently over 3 years.

 

  • Deposit - Yes you have got the deposit, you have saved it up, bit by bit, over the past 3-years and here are the bank statements to prove it.  Our solicitor confirms back to yours that the deposit has already been paid in installments over the 3 year period
    .

 

  • Credit Score - Yes you have got a good credit score!  Even if you come to us with a bad credit history, then we can help you fix it over the 3-years.  We know all the strategies to ensure that when you're credit scored in 3-years time, you get a clean bill of health.  Our broker will work closely with you to ensure you qualify for the mortgage credit scoring system and a plan of action is put in place to ensure your credit score is good in 3-years time, as there is no point doing this unless you're able to get a mortgage in the future.

 

  • Self Employed - Accounts - you should have 3 years or more by the time you're ready to buy.

 

  • New to the UK - You should have lived here at least 3 years by the time you're ready to buy.

 

At the onset of the "rent to own" plan, you will sit down with our mortgage broker who will ensure that you will be eligible for a mortgage at the end of 3-years.  He will get you a DIP (decision in principle) from the lenders today to get a commitment to you as there is no point entering a plan like this if you're not going to be able to buy the house after the 3-year period.

 

 

How the Plan Works

  • You move into your home within weeks, not months.
  • You rent and live in the home whilst you save for the deposit.
  • You typically save for the deposit over a three year period
  • You save the deposit with a combination of some starter money and monthly option fees (the super-rent)
  • After 3 years you have sufficient funds for the deposit for a mortgage.
  • You then buy the property that you have already been living in at the price agreed on todays value (not tomorrows).

    The Value to You

  • An easy and affordable way to home ownership.
  • You move into your home within weeks.
  • No mortgage required until you are ready.
  • You enjoy the benefits of home ownership from day one, whilst you save the deposit in installments.
  • You buy your home at a price that is agreed at todays value, not tomorrows - I call it a 'tardis' concept.
  • You benefit from increases in the property value from day one.
  • You own 100% of your home
  • If you fix up the home, you keep all the profit.
 

 

  • We have prepared a special report about the "rent to own" plan, if you would like a copy, then please contact us and we will email you a copy by return.  Include the area where you would like to live and how many bedrooms you require so that we may alert you to any properties that we currently have available.

 

  • Don't delay.... whenever we advertise a new property to "rent to own", it's usually taken within a few days and the purchasers have moved in within a 2-3 weeks, once the solicitors have done their work.  If you register with us and we email you (or call you), please act quickly and come down to view the house on the open day... and be decisive - we have a "first come first served" policy. People who want to spend all weekend thinking about it are often disappointed on Monday morning - sorry guys, you have to be quick!


  • If you come down to the open day, please bring with you - driving licence or passport, 2 recent utility bills, last 3-months wage slips as we only take applications from people who are serious.

 

 

 
 

 

Please call us TODAY for a confidential chat about all the options!
 
01204 897868