Frequently Asked Questions
Royal rouge properties in conjunction with its partners will purchase the home that YOU choose, and you will have the option to purchase the property at the end of the program. All through this RTO period, you will work through a forced saving plan to enable you to provide the complete down payment and also improve your credit score. Upon completion, you will be in great shape as you would have solidified your stance toward qualifying for traditional lending with the bank and will have your name on the title once approved. We are mandated to sell the home to you at the end of the term at a pre-determined price and your down payment will include your Initial Option Consideration along with the Monthly Consideration which would be credited towards the purchase price of the home.
Yes, you could qualify, however, an assessment would be conducted on your current financial standings to determine how to proceed with you on the Rent-To-Own program.
No, the property taxes and insurance are being paid for by Royal Rouge Properties, however at the end of the tenure, once you have your name on the title, you would assume the usual financial responsibilities of a homeowner.
The monthly payments = (rent + monthly option consideration). The rent is determined by the pre-existing fair market value of similar properties in that location. Meanwhile, the monthly option consideration is determined by how much you provide as your initial option consideration (initial money you bring into the program). Hence the higher your initial option consideration, the lower your monthly option consideration, and vice versa.
After all said and done, the complete payments are definitely LOWER compared to the conventional 5% mortgage interest rate.
The future purchase price is fixed at the beginning of the RTO program with a conservative yearly appreciation. Hence, the tenant-buyer is subject to benefit from a market that outperforms the previously fixed purchase price upon taking ownership of the property.
Yes and No. Yes, you will need to provide a substantial portion of the down payment (initial option consideration) and No you don’t need to provide all the down payment at once. Based on your Initial option consideration a monthly option consideration would be calculated which could be subject to further discussions depending on your situation.
Just like a traditional mortgage, you are responsible to make all payments as at when due, failure to do so would activate some clauses in the contract that could lead to legal proceedings in other to secure the interests of all concerned stakeholders.
Currently, in our inventory, we have turn key properties that are located in markets with demonstrated ongoing re-sale demand. such properties are very likely to please your taste as schools, public transits, and other major residential factors are very available, but if our needs don’t meet your taste, we would be more than happy to allow you to work with our Realtors to choose a house that suits your families lifestyle.
Our specialized mortgage professionals will assess your current situation to determine your eligibility to qualify for financing in 2-4 years. Furthermore, you will be provided with an action plan to get your credit score back on track.
There are typically two outcomes to this scenario – we can either extend the Program length if you need more time, or you can choose to walk away from the home. If you choose to walk away from the home, you will forfeit your non-refundable option consideration and incur other consequences as a result. There are significant costs involved in selling a property that has been specifically purchased for your benefit, which include (but may not be limited to) REALTOR commissions, mortgage repayments, payout penalties, interest costs, holding costs, investor payouts, and marketing. We will help educate you that we are making a significant investment in YOU and we want to deal only with committed individuals and families.
The RTO process begins with you filling out an application. Kindly contact us know and we will get in touch with you to get the process started and get you on the road to becoming a proud homeowner!
The entire RTO program setup typically takes anywhere from 6 to 8 weeks from start to finish. The approval process usually takes 1 to 2 weeks, at which point we will then design the Program to meet your specific individual needs. Selecting a home and moving through to acceptance can take anywhere from 2 to 4 weeks to complete. After all conditions have been met on the acceptance, you should expect another 2 to 4 weeks for closing before you receive the keys to your brand-new apartment!
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Rent-To-Own Is a homeownership program designed to make your dream of homeownership a reality. To get more details on how rent-to-own works please click on the buttons.
