Ask for rent credits!

[Doug Pretorius (ON) 9]

Just wanted to share this. Unless the seller has no equity...don't be afraid to ask for rent credits. After you've negotiated the lowest rent you can, go ahead and ask for rent credits too, it can't hurt. I've done this in my last 4 negotiations and had no problem getting 25% of the rent toward the purchase price.

[MichaelC 160]

Good to hear that's working for you, and always good to be reminded to be open to all possibilities with any deal. Personally, I avoid the mention of rent credits with the homeowner because I have found that most see it as a direct assault on their pocketbooks and it's just one more number for them to fret over.

[Doug Pretorius (ON) 9]

I totally understand your reasoning, MC, and agree with it in principle...keep things simple. But what ended up happening, and maybe this is just some weird anomaly in my area, is many sellers would say: "From what I understand about rent to own is that part of the rent goes toward buying the house. But you haven't mentioned anything about that...what's the catch?" Yeah I'm NOT kidding, some folks thought I was trying to pull a fast one because I wasn't asking for a rent credit! This happened enough times that I decided to make rent credits a standard feature, but one that I would be willing to negotiate away if they're totally against it. So far so good.

[MichaelC 160]

You always insisted that Canadian homeowners were a strange lot, Doug. You've convinced me.

[<Steve> 82]

Strange lot, but they make a good bacon.

[jakeduvall 5]

Strange lot, but they make a good bacon.

 

Canadian Bacon. Hilarious!