Renting to Own

9/4/2011 10:25:18 PM	Renting to Own
godsbutterfly1 Woodlyn, PA 62, joined Dec. 2010	I needed a new computer last year. I was considering renting to own like a neighbor of mine was doing. But, when I read the fine print, I realized that it would cost me twice as much for it. Not worth it, no how. Bad Credit? Why You Shouldn't 'Rent to Own' By ELISABETH LEAMY ABC NEWS Consumer Correspondent Aug. 25, 2008 As Americans, we've been flogging ourselves plenty lately for our addiction to credit, and how it gives us the ability to get things now that we wouldn't be able to afford until later. There's another version of that, and it's the world of "rent to own." It can be convenient for people with poor credit, but in the long run it is a lousy way to buy something. I once priced a 25-inch television at a rental store and a regular retailer. The rental store wanted $86.25 a month for twelve months. That's a total of $1,035. The cash price for the same TV at the regular retailer was just $500. Plus, when you rent to own, it's possible that the TV is several years old and has been rented to countless other people before you. Click Here to Ask Elisabeth Leamy Your Consumer Questions About This Topic or Any Other Consumer Issue Even paying by credit card and carrying a balance can be a better deal than renting to own. (Much as it pains me to suggest it.) That's because if monthly rental fees were expressed as an annual percentage rate they would range from about 100 percent to 350 percent. Credit cards typically don't top 24 percent. (Then again, if you pay by credit card and carry the balance for years and years, you could eventually end up paying more that way.) rent to own ABC News Photo Illustration Consumers who choose to "rent to own"... View Full Caption The best thing to do is take the same amount that you would pay a rental company each month and put that money in a savings account instead. Take the 25-inch television example, above. If you save $86.25 a month, after six months you would have enough to pay cash for the TV. The one disadvantage is that you have to wait. If you need the item today, you might want to consider buying something at a garage sale or thrift store instead. After all, it's quite possible the rental store is going to provide you with used merchandise, so what's the difference? Questions to Ask: 1. How much would the item cost if you paid cash? 2. How many rental payments will you have to make to own the item? 3. How much will each payment be? 4. What will the total of all the payments be? 5. Will the item be new or used? 6. If you're late with a payment, will the store repossess the item? 7. If you have trouble making your payments, can you return the item without a penalty? 8. Are you allowed to pay off the item early to save money? Or is there a penalty? Do Your Homework About 'Rent to Own' Shop around. Compare the same item at different rental stores and at retail stores. Consider saving for the item or buying something used instead. If you must rent to own, pay the item off early if you can to save money. Make sure the rental store gives you a written contract and keep a copy. Try to get the questions above answered in writing. Some states require it. How to Complain This is a case for the Better Business Bureau and your county and state consumer protection offices. Meet singles at DateHookup.dating, we're 100% free! Join now!
9/5/2011 9:38:09 AM	Renting to Own
ccherie Salem, OR 63, joined May. 2008	Someone I know rents to own a lot... I am sure this is because they have poor credit. They have a good job, they just spend all their cash like it is free. Then charge what they need and pay minimum on the credit cards. This is a vicious cycle.... I am waiting for the pre Holiday sales after Thanksgiving to buy a new computer. If I don't find what I want at a reasonable price, then I will just go ahead and buy the one I want. At least I have made the effort. And as you said, I have saved the money in the meantime... even if it was not specifically ear marked for the Computer.
9/5/2011 11:04:45 AM	Renting to Own
godsbutterfly1 Woodlyn, PA 62, joined Dec. 2010	The family across the hall rents to own just about everything. They are getting ready to lose their apartment due to back rent. Yet, if you go in their place, they have a 52" flat screen TV, each of the kids has a flat screen TV, they each have their own computer, ipods, etc. all bought from Rent-A-Center. When people come in, no one believes they are hard up for money. The fact is they aren't, they just manage their money poorly. My income is about 1/4 of theirs and I always have my rent paid on time.
9/5/2011 1:34:18 PM	Renting to Own
fishingmom Lake Alfred, FL 63, joined Aug. 2008	those places are big traps, dont fall for it. Now some of these rent to own places here, have back rooms where you can go in and buy merchandise that they confiscated from people for not paying their bills at a much lower cost that whats in the front of the store. Check around for back rooms, you could get a great deal for little cash.
9/5/2011 1:45:16 PM	Renting to Own
godsbutterfly1 Woodlyn, PA 62, joined Dec. 2010	Does anyone know anything about renting a home to own? I have seen ads about them but wasn't sure.
9/5/2011 3:11:20 PM	Renting to Own
fishingmom Lake Alfred, FL 63, joined Aug. 2008	get a real estate agent to walk you through it. Some home owners will use what rent you pay them to go toward the mortgage, some dont, depending on what kind of contract you sign. In Florida some home owners will finance for you and you pay a high price and usually thats because you cant get insurance if its an old mobile, for instance. Your best bet is to talk to a real estate lawyer if you can do so. Dont sign anything, until EVERYTHING has been explained to you. Ive had friends renting and then when the decided that they did want the house... all that money they had paid into it, didnt count for anything. So it was like they were renting an apartment and just starting new in a house. Read the fine print and read it again, but Id still get a good real estate agent that KNOWS the mumbo jumbo, or a real estate lawyer. Just be sure if it IS owner financing, that once it is paid for, you CAN get it insured.
9/5/2011 3:36:58 PM	Renting to Own
godsbutterfly1 Woodlyn, PA 62, joined Dec. 2010	Okay, thanks. I'm not quite sure what I'm looking for at the moment but I will keep that in mind.
9/5/2011 6:08:23 PM	Renting to Own
fishingmom Lake Alfred, FL 63, joined Aug. 2008	well if I move, ya wanna rent mine? I wouldnt gip ya outta nothing
9/5/2011 9:54:45 PM	Renting to Own
godsbutterfly1 Woodlyn, PA 62, joined Dec. 2010	aaaawwwwww, you're sweet.
9/8/2011 9:20:37 PM	Renting to Own
ericjasonp Chalfont, PA 53, joined Feb. 2011	Same thing as a lease-purchase. A certain portion of the monthly rent (negotiated) is credited toward the purchase price of the house provided that you buy the house at a certain date. You must get a mortgage or pay cash. If not, the landlord keeps all the rent. This has been around for a long time. It might be a good idea if you don't have money for a down payment and need to save up the money. Landlords are now calling it rent to own because so few people qualify for mortgages in this market. The hope is that circumstances will improve by the end of the lease. Hire a lawyer to review the contract. Don't trust a realtor.
9/8/2011 10:41:58 PM	Renting to Own
godsbutterfly1 Woodlyn, PA 62, joined Dec. 2010	Thanks for the advice.
9/8/2011 11:12:24 PM	Renting to Own
leejeans1 Ogden, UT 58, joined Dec. 2008	Rent or lease to own a home..........if you're planning to do it even with an attorney or real estate agent.......be sure to put down the asking price to be permanent that it cannot and will not be raised at later date if recession in home buying lifts. Also, to put in % of what you pay monthly to go towards as down payment and other fees. It's usually very high depending on your credit rating if you can get your own personal loan through banks. Rent to own can be a good thing if you want to be absolute sure that the home is sound and safe to live in maintenance and security/safety of neighborhood. (Be sure that you can put in that anytime you want to forfeit the rent to own.......you can walk away but most likely you will lose all of your monthly rent to the home which is fair thing to do*. There are grants out there, Gods, to help low income to get a home with buyer's assistance in down payment and you can always ask for seller's assistance for closing costs. Good luck, dear.
9/8/2011 11:30:16 PM	Renting to Own
hotwheels56 Modesto, CA 61, joined Jun. 2010	hmmmm wish there was something available for getting a gf/mate....
9/8/2011 11:49:25 PM	Renting to Own
godsbutterfly1 Woodlyn, PA 62, joined Dec. 2010	Thanks Ramona!

megaperosnals

how to post on mega personal