Rental Agreement
This looks much like a standard lease. It specifies your rent and the term—most cases being two or three years.
Maintenance: Unlike a standard lease, the tenant is often responsible for maintenance costs and upkeep. This motivates you to keep your future home in top shape.
Standard Terms: You must follow general conduct requirements and avoid structural renovations without permission.
Lease Option
This gives you the exclusive right to purchase the home without worrying about anyone else swooping in and snatching it out from under you.
Option Fee: Typically 2-7% of the purchase price. This is due up front and is credited towards the purchase price when you buy and close on the home.
Exclusivity: Valid for a term equal to your lease, giving you “first dibs” on the property.
How Much Does It Cost Me?
Because of the rent credit, you will likely pay more to rent the home than common market rent. Think of the extra amount as a forced savings plan for your home's purchase.
An Example Deal:
If you decide not to purchase the house, the option fee and credits are non-refundable. Also, if you are late paying rent, you will likely lose that month's rent credit.
Pros & Cons Checklist
Is rent-to-own right for you? Evaluate the trade-offs.
- • Boost Credit: More time to improve your score and save up.
- • Build Equity: Get a head start on building home value while renting.
- • Test Drive: Stay in the neighborhood and try out the house long-term.
- • Lock-in Price: Save if the home's value rises during your lease.
- • No Guarantee: You still must qualify for a mortgage at the end.
- • Loss of Funds: Forfeit fee and credits if you can't or won't buy.
- • Market Risk: Value might drop, leaving you with an inflated price.
- • Strict Rules: Late payments can cause you to forfeit your monthly credit.
How Rent-to-Own Works with MsRent2Own
Stop throwing away rent money every month. Our lease-purchase program gives you time to build credit, accumulate down payment savings, and move into your permanent home today.
Free Online Pre-Qualification
Submit your simple application with basic income and budget details. No hard credit inquiry, and no bank red tape.
Select Your Dream Home
Browse our curated listings of quality single-family homes and schedule a private in-person walk-through.
Freeze Your Purchase Price
Sign your transparent lease-option agreement. Your purchase price is locked in for the entire 1 to 3 year term.
Earn Monthly Rent Credits
Each month you pay rent, 25% of your payment is credited directly toward reducing your purchase price.
Exercise Option & Become Owner
When you are ready, buy the home at the reduced price minus all your accumulated rent credits and option fees!
Ready to stop renting and start owning?
Get pre-qualified in under 3 minutes with zero obligation. Explore active listings in your area.
Traditional Renting vs. MsRent2Own
See why lease-option purchasing outperforms standard apartment or rental leases.
- ×100% of your rent money goes to the landlord's mortgage with $0 equity for you.
- ×Rent prices can increase every single year upon lease renewal.
- ×No option to buy; you could be forced to move if the owner sells.
- ×Strict pet restrictions, no painting or home customization allowed.
- Earn 25% of your rent in monthly credits applied directly toward reducing your purchase price.
- Purchase price is locked in for up to 3 years. Any market appreciation is yours!
- Move into your permanent home today while repairing or boosting credit scores.
- Full pride of ownership: treat the home as your own with pets, gardens, and upgrades.
Frequently Asked Questions
Have questions? Here are the most common details about our rent-to-own agreements.
What is Rent-to-Own (Lease with Option to Purchase)?
Rent-to-Own is a real estate arrangement where you lease a single-family home for a fixed period (typically 1 to 3 years) with the exclusive right to purchase the home at a locked-in price before the lease expires. 25% of your monthly rent is credited directly toward reducing your purchase price.
How do Monthly Rent Credits work?
Each month when you pay your rent on time, 25% of your payment is credited directly toward reducing the purchase price of the home. Over a 36-month lease, this can accumulate between $12,000 and $24,000+ in direct purchase price reduction!
What is the Initial Option Fee?
The Option Fee is an upfront deposit (usually 2.5% to 5% of purchase price) that grants you the exclusive legal option to buy the home. 100% of this fee is credited toward reducing your purchase price at closing.
Can I back out of the purchase option?
Yes, you can choose not to exercise the option to buy. However, the upfront option fee you paid is non-refundable. Make sure you’re committed to the purchase before entering into a lease with an option to buy.