www.Rent2own.ie - what do you think?

I had applied for this but as soon as the market started to drop, they called me to say they were booked up...there is a catch....you agree a price and if the house prices drop your fecked basically and your rent will be higher than the average rent.

its a good idea if you have absolutley no hope of getting a proper mortgage, i thought for sure as a single mum who was only in full time employment for 2 months i didnt have a hope in hell of getting a standard mortgage but four months later I am signing contracts tomorrow.

They wont accept your application at the moment for rent2own as they know they will lose out agreeing house purchase prices the way the market is at the moment! of course its a scam they wouldnt make any money otherwise! its an absolute last resort i would say!
 
Rent to Own sounds brilliant....but in a down turn property market this scheme may backfire for me if we agree to a purchase price now yes?
 
How enforceable is the agreement to buy? If there happens to be huge growth in the market, could the organisers of such schemes (with no disrespect to rent2own.ie) simply walk away and hold onto the gains for themselves? With very large sums of money involved, there would need to be excellent corporate governance in place.
 
Yes the rent-to-own is an area that requires tight regulation.

As far as I know when you sign the contract to rent with an option to buy at the end of an agreed period of time, say 3 to 5 years and a significant portion of the rent, say 50% (if the rent is €600 ususally another €500-€600 per month is allocated to the purchase price) and if the purchase price for the house is agreed in writing within the contract. Then the seller is locked in to sell the house to the buyers per the terms of the agreement. Then the buyer is only legally locked into the terms of the lease but has the choice to 'opt out' of buying at the end of the term. The motivation for the buyer to adhere to the agreement is that they lose their deposit and all the 'rent' money allocated towards the purchase if they don't proceed...... Is this how it's done here in Ireland?
 
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