A Time Of Financial Crisis Essay

1295 Words Dec 8th, 2014 6 Pages
In a time of financial crisis, more specifically post foreclosure crisis, struggling individuals who are either unemployed, have low income, or are in the process of recovering from bad credit, are pondering about ways they can leave their current checkered state and attempt to re-enter the world of home ownership. In addition to getting hit by the foreclosure crisis, according to Les Christie from CNNMoney, some ex-homeowners who were in the process of rebuilding their credit score got hit again by their lenders who have decided to seek and collect foreclosure debt, disallowing the ex-homeowners from fully recovering. For example, Ben McLarin from Florida had divorced his wife and, unable to keep up with the payments for the house, had to go into foreclosure. However, though he thought that he was in the clear, several years later, debt collectors sought him and filed suits, involving roughly one billion dollars. A sticky situation such as Ben’s is definitely hard to avoid, and though there are many others who undergoing identical struggles, there are solutions to help them climb back up the ladder of home ownership: one of which is to follow the rent-to-own option before committing to another mortgage.

The rent-to-own option, also known as the lease option, is a great way to control one’s home without the need to place an immediate down payment. This option will allow buyers to sign a contract with the seller, setting the lease’s term, which is usually three to four…

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