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Yes you can. I have two houses and rent one of them out sometimes.

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13y ago

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Rent to own houses are a great way for real estate investors to make money without actually owning any property. When investing in rent to own homes, the investor rents houses with the option to buy and then sublets them to the tenants who will actually live in the house for a higher amount. The investor makes money on the difference between the two rent amounts as well as the difference between the amount paid for the option fee and the amount charged to the tenant for their option. The first step is to find houses to rent. The best way to do this is to look in the For Rent section of the newspaper. Many times, the people who are offering their homes for rent have tried to sell them but failed. They have already moved out, so they need to get some income coming in to offset the mortgage payment that they are paying on the rent each month. These are the best prospects for a rent to own situation. To find a rent to own home, go through the rental property listings and ask questions about each property. After a few good questions, say something like, Wow, that sounds great. Would you ever considering selling it? If they say yes, it’s time to make an appointment to see the house. If not, go on to the next ad. After looking at the house to make sure that it doesn’t need a lot of work before being ready to rent, it’s time to negotiate with the sellers. Explain to them that you are willing to take on the job of landlord. If they rent to you, you will take care of any repairs the house needs while you are renting it and you will take care of collecting the rent from the people you rent to. Many homeowners will like the idea that they won’t have to worry about unstopping tenants’ stopped up toilets or fixing leaky faucets. Try to get the homeowner to agree to a lower rent than advertised since they won’t have to do repairs, and don’t mention an option fee unless they ask for one. Once you have the deal signed with the homeowners, put up Rent to Own signs and place an ad in the paper. Look for a tenant who has had credit problems in the past but appears to be improving. You want someone who will be able to purchase the home in a year or two. Then collect an option fee from them prior to moving in and charge a higher rent than you are paying. Congratulations, you are now in the business of making money with rent to own houses.


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