There are several methods that you can use in order to modify a lease purchase agreement in Rhode Island. This is due to the fact that renting to own gives you the privilege of buying the home when the lease is up. You can lease with an option to buy. You can also choose to enter into a lease purchase agreement.
Understanding the point of a lease purchase agreement
The real estate market in Rhode Island is designed to give you plenty of options. One of the most common will be to enter into a lease purchase agreement. The buyer and seller agree on the sale price as well as the rent you pay. This is a contract that reserves your right to buy the home.
If the market should decline during the time your lease is still running you may end up paying a higher amount for the home. If the market goes into an upward phase, you can reap the reward of locking into a lower price in advance. The exact amount that you pay to reserve the home is the point of the negotiation.
You need to negotiate in good faith
It’s very important to make sure that both you and the seller of the property are negotiating in good faith. Any contingencies that you may foresee arising should be covered in the agreement that both parties sign. This is crucial because once the contract has been signed, you will have very little room to renegotiate.
The main reason that most sellers will agree to a lease purchase option is that the home isn’t selling. This does give you some leeway as to the price you will ultimately pay. The main drawback is that you don’t have the option to buy before the lease ends.