The monthly rent in Requity Homes' program is calculated based on the home price and includes both the actual rent and a savings component.
Here's a breakdown using a $300,000 home as an example:
- Monthly Payment: $2,766, which is divided into:some text
- Rent: $2,450
- Savings: $316
The total monthly payment covers:
- The rent for living in the home
- A savings component that contributes to the future down payment
- Property tax and landlord insurance (covered by Requity Homes)
It's important to note that:
- The initial deposit and cumulative monthly savings count towards the down payment when the client decides to buy the home.
- Requity Homes covers property tax and landlord insurance during the rent-to-own term.
- Requity Homes pays all closing costs when they initially purchase the home.
The buyback price increases annually, typically by around 5%. For example:
- Year 1: $315,000
- Year 2: $330,750
- Year 3: $347,288
This structure allows clients to live in their future home while building up their down payment and locking in the future buyback price.
