Selling your house on Terms might make more sense than you realize.
If you need to sell quickly and with the least amount of hassles.
Buyers who can't wait to own a home but who aren't quite mortgage ready.
What's A Lease Purchase?
How Do You Purchase My Home?
How Are Lease Purchases And Owner Financing Different?
If My House Is Only Worth What I Owe, Can I sell It Without A Loss?
What If I Don't Have A Mortgage?
A lease purchase is simple. It means that we agree upon a price today, CRS then will take over any and all responsibilities with a definitive date of purchase. On or before that end date that we agree upon, CRS will cash you out. Nothing more than a delayed cash sale.
That simply means you sell to us with terms and we make monthly payments until we refinance or the term ends. We typically do a minimum of 48 months on those types of transactions. You'll have a recorded note and mortgage on the property. We can even pay a premium and make monthly principle only payments so you're not reporting any interest income and you get full market price.
No. That's exactly why CRS needs these forms signed up front to buy the house so CRS can legally solicit buyers. Keep in mind that also means that you pay no commission and your house gets all CRS's attention.
CRS is partnered with National Property Team and buy several houses per month and have been in business for over 25 years with an Better Business Bureau rating. In addition to that, you can see all the other sellers on our site and what they had to say about successful deals with us. Of course CRS would have no reason to go to agreement with you if we didn't intend to honor our agreement. We don't get paid unless you do. If this is something that keeps you up at night, maybe it's not a good option for you.
As with a lease purchase, CRS has no reason to buy your house if we didn't intend to honor our agreement. We don't get paid unless you do and it's highly likely you'll get cashed out before the term ends. Keep in mind that you have the security of a first mortgage during this transaction.
We have to work that out together and it sometimes changes based on the buyer's needs if we accept them based on what the prescreening tells us. We like to see 48-60 months minimum, sometimes we've been able to do it in less time, but let's work that out once we know which option we're going with.
Short answer is if you're in a position where you can wait to be cashed out you will make substantially more money. Additionally, CRS buys on terms so we can find buyers who can qualify for cash out given a little time and work. Our chances of locating this kind of buyer are many times greater than you or your agent finding a cash buyer in this market. Keep in mind that you'll get full value and you won't have a broker's commission to pay. We usually only need 5-90 days and your house will get all our focus and substantial marketing budget and that's assuming someone on our current buyer's list doesn't take it. Sometimes that happens in the first few days.
It's highly unlikely. Of the hundreds of transactions over the years there's never been a loan called due. Lenders just want to get paid monthly until the loan is paid off that's why the bank made the loan in the first place. As long as they're collecting regularly it would be a terrible business decision on their part to call the loan due and chance not getting paid. If it really bothers you, though, we can lease purchase it so title doesn't transfer until you're cashed out.
You're describing a renter. We don't rent our properties. Again, CRS requires a financial commitment from the tenant buyer so we do not get people beating up the house. They are thoroughly vetted as a buyer, they treat it as their own - these are buyers that move in and do everything they would do if they owned except their loan is not in place yet.
One of the most frequently asked questions. We don't set our buyers up for failure. We only set them up to succeed and we do that by pe-screening them for credit, criminal and sexual harassment to make sure they're a fit. Most importantly, from that pre-screening we know how soon they can be mortgage ready and we structure the term to meet those dates. Let's say that a life event happens (2-5% of the time), and they have to leave (divorce, death, job relocation, etc.) - worst case is we can sell the property traditionally or we can procure another buyer to fit the timeline in order to fulfill our obligation to you. We handle everything so you do not have to worry.
Actually, we typically can pay you top dollar for the home provided you'd be open to doing that on a lease purchase or some kind of terms.
Totally understand. That's why CRS performs the most thorough check on our buyers as possible. That's why we stay in the middle. You don't have to worry about any of that. You're leasing to us and we cash out on or before the end of the term. Any and All issues with the buyer we handle.
What we mean is we're definitely not going to live in it so we purchase from you or lease purchase and then resell or sublease to our buyer that we know can get this cashed out within an acceptable time frame. This way, we remain as the principal and you collect from us, not our buyer. It also means that all issues that come up are our issues...not yours and we'll be working with the buyer to get it all cashed out. Alternatively, if you will sell for nothing down or little down we can close quickly and pay all your closing costs.
CRS can buy houses with cash but we do that for houses that need work and are more in the rehab category. For houses that fit that criteria we only offer 60-70% of retail at best. Yours is move in ready and doesn't qualify and therefore we can offer closer to if not full market value. If you'll sell with terms, you can avoid paying broker commissions and other closing costs which are usually in the tens of thousands of dollars.
Banks and mortgage companies vary on this one and you should shop around. We’ve seen them count your lease payment anywhere from 75%-100%. For example, if your mortgage payment is $1000 and you are collecting only $1000 on your lease, if they are only counting 75%, you will be credited for $750 monthly income as far as your debt to income qualifying ratio and that means you have $250 net debt. If they count 100% of your lease income, it’s a break even and will not at all affect you qualifying for a loan. There is a simple solution for this as well, which we can discuss.
If you definitely need the cash out NOW to move to another house, there's only one solution with us and you can use it as a back-up if you don't sell on your own (or with your agent). That would be for you to refinance your house to take cash out and then structure the terms of a lease-purchase with us to cover that new loan.
In that case CRS can't do anything yet with you as we don't want to step on any toes, but if you don't get the price you want in the time frame you want...or if you end up cancelling on your realtor, then just give us a call and we can get it done for you fairly quickly and you'll save the broker's commission and sometimes even cover your closing costs.
CRS welcomes a review and all our closings occur with an attorney and you don't have to pay for that - we pass that along to our buyer. Having said that, in our experience, not all attorneys are familiar with real estate transactions that are structured with terms and there may be some confusion on their part. Most attorneys who aren't familiar with terms will likely advise against moving forward as they'd rather not risk approving of something they don't fully understand. We would rather propose that your attorney red line the items that they have a question about that we could specifically address. Alternatively, we would be happy to speak with your attorney directly or they could call our attorney who is very familiar with this process.
If it doesn't sell, then what? Will you just hold on to it? If we can offer you full market value and help you keep tens of thousands of dollars and cash you out within 36-60 months, you'd rather not?
Sometimes life throws you a curve ball and the best of plans come unraveled. A payment that was completely manageable when you got your mortgage can seem impossible after a job change, injury, divorce or many other life altering events. If you’ve fallen behind on your payments it is important that you act immediately! Let us help solve your problem while we still can.
Selling your house on your own can take months, whereas selling your house to a cash buyer will generally take no more than 30 days. With CRS, you can submit your information or make a call and schedule an appointment at your earliest convenience. Once we look at your house, you'll get a cash offer within a day.
The cash offer is based on a number of factors which include what repairs and upgrades are required in order for it to be marketable, what the going prices of nearby similar properties are and various other considerations so you probably won't get the full market value. This may seem like a disadvantage but what this allows is for a seller to move on quickly and without the usual hassles and expense of selling a house either by themselves or through a realtor as this can take months.
CRS buys all kinds of houses. A house may be under an unfavorable mortgage situation, the location may have become inconvenient for the owner, it may need repairs, or be facing foreclosure. CRS buys houses as-is so a seller doesn't have to worry about making repairs. It helps make the process fast and easy.
Realtors are the legal representatives for the seller and it is their hope that a buyer will purchase your house in less than 6 months. Once a buyer is found they have to qualify for a loan and your house must be in good to excellent condition before a lender will underwrite a loan.
CRS is the buyer and pays CASH! It makes the process much simpler, predictable and quicker as there's no lender, mortgage broker, realtor commissions, inspectors and more.
No. Once an offer is made there are only 3 possible outcomes: 1) you say "yes" and accept, or 2) you say "no" and decline, or 3) you make a counter offer. It's that simple.
Funds are dispersed at closing. CRS must obtain clear title from the title company and then we schedule closing. In some cases we are able to offer an advance, depending on the status of title and your specific circumstances.
Once closed you can collect the funds in one of two ways:
The title company will issue funds directly to you at closing. The title company will also payoff off any mortgages, taxes owed, home owners association fees and any other items that are due.
CRS has several resources that can cleanout, pack and even move your belongings! We do ask that you work with us to make arrangements for these services at the beginning of the process, that way we can make preparations accordingly. Depending on the service a charge may apply at the lowest possible cost.
Once we can set a date for closing you will know the exact date to schedule your move. Closing is when the final papers are signed, you receive your money, and when ownership transfers out of your hands. By this time, the house should be empty and vacant unless we make other arrangements based on your specific needs. We begin the process of repairs and maintenance on the property immediately after closing and anything left behind will be donated to charity or disposed of.
Typically, we let you pick the closing date. If we sign a purchase and sale agreement and you need a few months to prepare for your move we are willing to work with you. There is NO PRESSURE from us to close by any particular date and we will accommodate your needs to the best of our ability.
Submit your information to connect with us online or simply give us a call and we can get the process started.
CRS will connect you with a great credit enhancement company that will lay out a specific plan that will get you mortgage ready. There is pride of ownership. We don't have a typical tenant/landlord relationship. This means we treat you as the home owner. You take over any and all ownership responsibilities as a homeowner would. We lock in your purchase price. As the market goes up so too does your equity in the home.
The first thing we look for is character. Does the person we're considering have a strong track record of keeping commitments and follow through? We also look at FICO scores. It's not a deal breaker but if the score is low we want to know how it got there and what needs to be done and how long it will take to raise it to an acceptable level. Next is how much of a down payment the buyer can come up with. The more the better. We are looking not for a renter but a buyer mentality. We finally will look at your ability to pay.
The short answer to this is yes! We do however, want to be notified of any improvements to the house as there are certain considerations to be made depending on the scope of work performed.
In addition to your down payment you are allowed one extra payment per calendar month in $100 increments up to $500. CRS will match 50% of your credit. You could potentially have a maximum of $9000 applied toward the purchase price per 12 month period.
In the case of damage to the exterior of the house our homeowner's insurance, which we are required to have, will cover the damages. As a tenant/buyer you are required to have renter's insurance until such time you are able to refinance the purchase of the home. Renter's insurance will cover any damages that occur within the interior of the home.
You would virtually have all of the same expenses as a regular home owner would have. Some of the same expenses would include interior/exterior maintenance, utilities, upgrades, appliances, and in some cases property taxes.