Stock Options and Futures

How does leasing with the option to buy work?

Top Answer
User Avatar
Wiki User
Answered 2007-01-06 00:56:24

You usually sign an agreement when you rent the house that it is a "rent to own option" At the end of a certain period if you choose to buy, a percentage of the money that you have paid in rent will go to toward the purchase price. If you choose not to buy, it will be just like an ordinary rental agreement with the owner being that mcuh richer as far as the money you have paid in rent. Hope this helps.

User Avatar

Your Answer

Still Have Questions?

Related Questions

What do leasing a car means?

Leasing is essentially a long term rental with an option to buy at the end of the lease.

When taking into consideration the prices to lease a car is it better to buy?

The choice of either leasing or buying a car depends on the original price of the car; depending on the price, either leasing or buying can be the better option. However, buying a car is usually cheaper than leasing it.

On what terms is machinery and equipment finance leasing arranged?

As with automobile leasing, the financier keeps the title to the equipment, while the customer typically makes monthly or quarterly payments and has an option to buy the equipment at the end of the lease period.

Cutting Company Expenses with the Option of Equipment Leasing?

Whether you are starting a new business or you are operating an existing business, the option of leasing equipment utilized for the services you provide to your customers and clients can be an economically friendly option. Equipment leasing allows you to see how well the products will work for your service options before spending a large amount of company revenue on these products. You will also have the ability of receiving free or low cost repair services when the equipment is not operating properly when leasing these items. Many equipment-leasing dealers offer you the option to purchase the equipment at reduced rates when your lease is completed. You are still able to claim the costs associated with equipment leasing on your business taxes for extra credit when claiming your business expense.

Should I buy a used car?

Buying a used car can be a great way to save money. However leasing may also be a good option to look in to.

Where can one get leasing on business equipment?

Many companies are currently leasing business equipment rather than purchasing. Some sites that offer the option to lease equipment are Lease Experts and Tiger Leasing.

What is an option buy?

An option buy is when you buy an option, whether call option or put option, using the Buy To Open order.

What is apartment leasing and its benefits?

The benefits to leasing an apartment are that you do not tie up your capitol. It is also the only option available to people who don't have great credit.

What is best leasing a car or buying a car?

it depends on how much you are going to use the car because if you just go to work and back leasing but if you are going to use it everyday then i would buy a car but it really depends on what your budget is =]

Could you please tell some resources for car leasing in Scotland?

IMO, Avatar Vehicles is the best option. They offer Car Leasing, buying in Scotland.

Is call option and buy option are same or not?

As far as I know there isn't a "buy option," but a call option is an option to buy so I guess you could think of it as a "buy option."

How can I identify reliable low-rate auto leasing companies? is the one of the most reliable option for it. D&M Auto Leasing is the largest consumer car leasing company in the nation! With more than 30 years of car leasing experience we have perfected the process .

My friend has a waterfowl rescue in nc, she has the opportunity to buy the land she is leasing. Can she get a grant to do this and if so, what does she have to do?

“My friend has a waterfowl rescue in nc, she has the opportunity to buy the land she is leasing. Can she get a grant to do this and if so, what does she have to do?”

Where can you find furniture with a lease purchase option?

I do not think leasing furniture is an option. Buddy's Home Furnishing is an option to rent furniture if you are looking for short term furniture needs. Some companies that rent furniture will have option to buy at end of rental agreements. You can also finance furniture through store credit card companies.

What is a motor vehicle lease?

Leasing a car is much like leasing an apartment or home. Usually the user is under contract and pays monthly payments. Although they do not actually own the property, they own rights to the property for a specified amount of time. Leasing a car can be likened to renting a car for a long period of time. This may be an attractive option for people who trade-in to buy new cars often.

Is it best to lease a property or buy it?

Leasing is the best option because you can use the profits to help pay the lease. Once you've bought it, you're looking a storage house if the business turns bad.

What are the benefits of auto leasing over purchasing?

The first thing people need to realize is leasing is not renting it's actually a type of automobile financing, The leasing option finances the use of the vehicle while, of course, the purchasing option finances the purchase of a vehicle. Each option has benefits as well as drawbacks. Leasing is good for if you like the idea of a new vehicle every two to three years and don't mind paying a bit more in the long run for that benefit. Also, with leasing there's no down payment, there are sales taxes and a fee similar to interest on a loan each month. Leasing offers significantly lower payments each month as well. I'm sure there's other things as well.

Anyone can suggest some good commercial leasing?

Good commercial leasing can often be found in strip malls. These are a good option because they already have foot traffic and people interested in shopping.

Why is it beneficial for a business to use a car leasing option rather than purchasing a car?

It is beneficial for a business to use a car leasing option rather than purchasing a car because businesses don't tend to keep the same car for a long period of time. Therefore, the business will actually lose money by going into a contract and purchasing a car instead of leasing it for as long as they need it.

What are the option for leasing a vehicle?

You can lease cars for different time scales, various models, different packages etc

Advantages of equipment leasing?

There are plenty of different advantages that businesses can gain from equipment leasing, but you still need to know what you are doing if you want to get all of the benefits involved. If you want to know all about the different advantages of leasing, then you need to take a look at what kind of business you run and what kind of benefits leasing certain equipment can bring to that business. The biggest perk to leasing is that it provides you with a flexible option when it comes to your equipment. When you can easily switch out your equipment or get rid of it when your lease runs out, it makes things much easier on you as a business owner. Although leasing will not work for every business, it definitely works for certain businesses that use equipment that is being upgraded on a regular basis.

A stock option is a right to buy?

A stock CALL option is the right to buy. A stock PUT option is the right to sell. See related links for a nice resource and articles how options work. In the Derivatives markets, a stock option or "option" is a contract to buy or sell the underlying stock at a Strike price. This agreement allows you to pay a premium for this arrangement. See more answers to such questions at .

Where can I find more information on commercial truck leasing?

You can find more information on commercial truck leasing buy visiting you local car leasing property. You can also check the Yellow Pages, or an encyclopedia.

What are the advantages in catering business?

Catering Equipment Leasing Allows you to try it before you buy it. For example, you love the new stainless-steel refrigerator line, but do you actually want to buy it outright? Instead, consider leasing one for a short term to see how you like it

What is leasing company?

definition of leasing company

Still have questions?