1. What is the Lease with a Right to Purchase Program?
The Lease with a Right to Purchase Program allows you to find a home that you want to rent initially, but may also like to buy within the next five years. You can lease the home for up to five years and you may purchase the home at any time at a predetermined price.
2. Who is eligible for the program?
There are certain minimum criteria. Your household must have an annual income of at least $50,000. You must have stable employment. You cannot be accepted into the program if you or anyone in your household has a history of eviction or a pending bankruptcy. Everyone in your household will be subject to a criminal background check. List Of Requirements
3. How do I apply? (7-8 Minute Application)
Click Here. Every member of your household who is 18 years of age or older must be included on the Application. The full Application requires certain information, including residence and employment history for each member of the household. You also must provide income verification for each member of the household whose income is to be considered. If you are moving from a different state or starting a new job, you will need to provide confirmation of your new job and income (an offer letter will do just fine).
You will usually receive a response regarding your application within 1 to 3 business days of receiving all required information.
4. How much does it cost to apply?
There is a one-time Application Fee of $75 per household that must be paid online as part of the application process. This Application Fee covers all applicants in the household and is nonrefundable.
5. Why might my application be denied?
Several factors are taken into consideration when reviewing an application, which include household income, rent-to-income, and debt-to-income ratio, rental and housing history, employment history, criminal history, and credit score. The profile of the entire household is considered when reviewing an application. If your application is denied, you will receive notification in writing.
6. How do I find a home once I’m approved?
We work closely with you to search for homes that meet both yours and our investor’s purchasing criteria. Generally, this means that the home should be:
- Located in an approved community (based on high schools and not adjacent to features that may negatively impact value);
- Listed between $150,000 and $400,000;
- Located on a lot smaller than 2 acres;
- At least two bedrooms;
- A single family home or fee-simple townhome; NOTE: condo associations, condo interests, commercial and multi-family properties ARE NOT eligible for the program;
- A traditional sale; (short sales, auctions, and REOs are not eligible);
- No material deficiencies (e.g., major structural issues, pervasive mold, etc.);
7. Do you or your investors own the homes shown on your website?
No. LaGrone International Realty Realty is a licensed real estate brokerage in Georgia. The homes shown on our website are either homes we are listing or that are for sale in the MLS. NOTE: We cannot filter for certain criteria such as whether a townhome is or is not fee-simple so there is a possibility that a home shown on our website does not meet the minimum purchase requirements. The information on available homes is for informational purposes only and cannot be guaranteed, however, 95%+ of the homes shown in Available Homes are eligible for the program.
8. My city is listed as approved on your website, but the high school of the home I want is not. Is the home approved?
Unfortunately No. The only homes that are considered must fall within one of the default public school attendance zones of the high schools listed in each city. The high schools are ranked in the top 50% within each of our approved markets (based on standardized math and verbal test scores). Homes outside of the approved high school attendance zones do not meet this requirement.
9. Is there a required deposit?
Yes, a deposit equal to two months’ rent is required. If you decide to leave the home at the end of any one-year lease term and you have been in compliance with the terms of the lease and return the home in the same condition it was in when you moved in (normal wear and tear excepted), the full deposit is returned to you or credited to the purchase price if you buy the home. The full deposit (less any outstanding charges owed) is also returned to you if you exercise your Right to Purchase the home.
10. How long does it take from when I select a home to when I move in?
On average, it takes approximately 35-45 days. There are a number of variables that may affect the move-in time frame, including the length of negotiation with the seller, what the home inspection reveals with respect to required repairs, and the renovations you request. We will keep you informed throughout the entire purchase and renovation process so that you are aware of this timing.
11. What happens after I move in?
You are a tenant, our investor is your landlord. You have entered into a lease for one year and are bound to the terms of that agreement. Your landlord will collect your monthly rent and perform any necessary repairs that are their responsibility after you move in.
12. Are the monthly rent payments that I make applied to the purchase price of the home?
No. Monthly rent payments are not applied to the purchase price of the home. If you decide to exercise your Right to Purchase, you must pay the full predetermined price as set forth in the Right to Purchase Agreement.
13. How do I exercise my Right to Purchase?
You may notify your landlord at any time that you would like to exercise your Right to Purchase. However, you must provide notice in writing at least 60 days before you want to complete the purchase. Once you notify your landlord that you want to exercise your Right to Purchase, they will contact you to get the process started.
14. Can I buy a home in the middle of a lease term or do I have to wait until the end of the year?
You can exercise your Right to Purchase at any time during your Lease. However, you must provide your landlord with written notice of your intent to exercise at least 60 days before you want the sale to close.
15. Does my landlord also provide me with a mortgage?
No. Your landlord is not a mortgage company and does not have any obligation to provide or arrange a mortgage loan. Your landlord also cannot guarantee that you will be able to obtain a mortgage loan if and when you wish to exercise the Right to Purchase. If you want to purchase the home, it is up to you to secure financing for the purchase. LaGrone International Realty Realty will also assist you in getting ready to purchase the home and provide referrals as to the best places to secure your loan when the time arises.
16. Can I have pets in my home?
Yes…up to three pets (cats or dogs) with a max weight limit of 180 pounds total are allowed. For dogs, you must not have a Doberman, Pitbull, Rottweiler or Mastiff. Large animals (other than cats and dogs) such as pigs, horses, chickens, goats, etc., are not allowed.
Have additional questions? Do no hesitate to reach out! 404.348.4226
Learn More About:
- How It Works
- Available Lease Purchase Homes
- Estimated Monthly Rent
- Right To Purchase
- Starting Your Application