You can be in the dream house
of your choice in a matter of weeks without those large down payments
and closing costs needed today to buy a house. Our Program has
three very simple qualifications highlighted below. Once you have
met these qualifications, we will place you immediately into the house
- You must have a reasonably good chance of securing
mortgage financing during the next 24 months, the usual length of
a Lease With Option contract. We will basically review your
credit, income and finances. While you do not NOW have to
qualify, you will need to qualify down the road. The 24 months
of the contract period give you ample time to repair past bad credit
situations, create new credit sources, pay down liens and/or judgments
and eliminate erroneous information on your credit report.
We will give you an in depth report of what needs to be done to
raise your scores to where they will need to be. If need be
we will recommend a professional credit repair company that will
work hand in hand with you to attain your desired results.
When the time comes, should you wish, we will recommend a licensed
New York State Mortgage Broker who is adept in these credit challenged
situations. There is no charge to you at anytime from Realty
Funding Corp. for any assistance we may provide in the pursuit of
your credit repair and improvement.
- Housing Calculation: Your MAXIMUM allowable monthly
Lease With Option payment can not exceed 30% of your family's GROSS
reported monthly income. If your family earns $6,000 in monthly
GROSS income, your Lease With Option monthly payment can not exceed
$1,800 ($6,000 X 30%). Your GROSS reported monthly
income includes salary, commissions, bonuses, child support, insurance
payments, alimony, Social Security payments, disability payments,
etc. Non-Reported income can not be used for this calculation.
All income used for your housing calculation must be proven and
- Liquidity needed: Cash needed for the Lease With
Option transaction will average around 3.5%-4% of your desired home's
Purchase Price. The money is for one month's security deposit
and the 2.5%-3% Assignment Fee. Assume you wish to move into
a house that has a Purchase Price of $180,000 and a monthly Lease
payment of $1,500. Calculate that you will need approximately
$7,000 (4%) to move in. This is for a $1,500 Security Deposit
and $5,500 for the Assignment Fee. Please remember that you
will also need $1,500 on the first day of each and every month as
rent during the Lease With Option contract period just as you would
with any Rental or Lease agreement.
PLEASE Remember: The entire Security Deposit AND Assignment Fee is deducted as CREDTS from your Purchase Price when you buy your house. Thus you are simply loaning yourself this money when you enter into your Lease With Option Agreement.