Rent to own is a great alternative that expands the opportunities to buy a house. Usually, purchasing a home involves a great economic effort for people. It’s a challenging process, either because of the premium risk payments, getting a loan, or the different requirements needed to get it. In this article we you about the ‘rent to own’ modality with our Nativu Escazu advisor, Paola Mazzara.
How does ‘rent to own’ work?
‘Rent to own’ is a contract that allows the tenants to live in the property on a rental basis for the period stipulated in the contract. When this period is over, the tenant acquires the right to purchase the housing according to the price established during the signing of the contract.
Whatever has been paid by rent, up to the time of purchase will be partially or entirely discounted, thus reducing the final amount to be paid for the property.
Benefits
Rent to own is a valuable option and has benefits for both parties. For example:
Rent to Own in Costa Rica
In Costa Rica, there is currently a proposed law presented in 2021 that seeks to improve the legal conditions of this model. The Ley de arrendamiento habitacional con opción de compra would allow a regulated ‘rent to own’ in the country.
This regulation suggests the registration of contracts at the National Registry, enables the participation of financial entities and admits the possibility of creating legal entities focused on this rental option. Additionally, this contractual figure would apply to both finished properties and properties under construction.
Rent to own is a huge opportunity to consider if you are looking for a home. But even with the benefits, certain problems may arise if the situation is not properly evaluated. Do not hesitate to consult our advisors to learn how to get the most out of these rental opportunities.
