Why You Should Buy a Rent to Own Home
Purchasing a rent to own home Salt Lake City is a right way of taking advantage of the current real estate market and getting ready for the future property values. Here is an overview of the housing market and how you can maximize rent to own homes.
Salt Lake City, Utah Housing Market Overview
The entire Utah state is currently benefiting from strong economic growth which has been the trend over the past few years, and this is anticipated to remain steady throughout 2018. The 2017 National Housing Forecast by Realtors estimated that the real estate market would nationwide slow down slightly compared to the past few years with residential real estate price increasing by an average of 3.9 percent.
The forecast has further placed Salt Lake City among the top 25 housing markets with a national ranking of 16th. The estimated price increase is 6.7 percent which is nearly 3 percent higher than the national average.
While the national property value increase of 3.9% may seem very insignificant, the consumer price index is expected to increase by 2.5 percent. This means that the home values will increase more than rental rates which are good news for buyers looking to buy homes on a rent to own basis.
One advantage of the rent to own home option is that it beats the non-private, traditional apartment setting. The majority of people will usually consider an apartment any time they think of renting. With the rent to own home alternative you have a lot more freedom than you would with an apartment that doesn’t have a yard. This type of transaction is generally on town homes, houses and condos. You will find that some of these homes have swimming pools, lawns and often times gibe you complete access to all the amenities if the home is situated in a community or sub-division.
As of now, the lending market is tough and will probably get tougher. With the rent to own choice, you get a better way of qualifying than the traditional mortgage.
You can build up Down Payment Money and Credit while Residing in Your Dream Home: With the mortgage companies and banks tightening their lending options and not many people have 20% or 30% down, renting to own home allows one to work on both their credit and down payment money. You no longer have to wait to move into your dream home because of credit and money.
You will encounter homes in the rent to own market that is in a spectacular shape. Most of them are homes that could be traditionally sold, and this leaves you with a list of well-maintained homes to choose drom.