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Rent to Buy Ghana

Rent to Buy Ghana

FAQ

Frequently Asked Questions (FAQs)

Q: What does Rent to Buy actually mean?

A: In most cases, a rent to own agreement is a contract on a property that works like a lease and leads to a purchase. It’s often called a lease purchase.

The lease portion is a standard rental agreement that includes monthly rent, security deposit, and other typical terms. The purchase contract gives you the right to purchase the property within a set time period. This gives you the time to repair credit, increase your income, finalize a divorce, or otherwise improve your ability to qualify for a mortgage.

Most of the time people use a traditional mortgage loan to purchase the property prior to the expiration of the agreement, but there are other options if your financial situation has unique needs. We help lots of folks like you to purchase the home of their dreams.

Fill out the form in the client area to get started on your way to home ownership.

 

Q: What benefits do the Rent to Buy scheme provide?

A: Rent to Buy allows you to live in a new build or existing property at a monthly rent with the aim to own the home. This monthly rent is designed to help you save for a deposit to purchase the property in the future.

 

Q: What are the costs involved?

A: You must earn the minimum income required for the home to ensure that it is affordable for you, however there is no maximum income cap for this scheme.

There is no upfront fee required to register your interest. However, there is a flat viewing fee of GHs50 due on the day you are scheduled to view the property, and not required upfront.

You will be required to pay a reservation fee of GHs200 which will be deducted from your first month’s rent should you enter into a Rent to Buy Tenancy with us after choosing to go ahead with the property after viewing.

All successful lets are subject to referencing which will include a credit check, employment reference and criminal check.

You will also be required to pay a rental deposit, which we refer to as Getting Started Money (GSM) before move-in. This is usually 6-24 months of the rent.

Your monthly rent will be paid in advance by direct debit or other acceptable payment methods - Details provided in the client area. Your Lettings Officer will be able to inform you of the exact cost, depending on the date you move in.

Other costs may include moving costs and setting up other direct debits associated with renting a property e.g. utility costs, property tax etc.

 

Q: Do I have to buy the property at the end of the tenancy?

A: Before you proceed with your tenancy, you will confirm your intentions to purchase the property in the future when financially possible.

 

Q: How long can I live in a Rent to Buy Home?

A: Your initial tenancy with us will be for 24 months, then on a rolling periodic basis, but not later than 60 months (5 years).

The home you are renting will be available to buy anytime before the 5 years and as the tenant you will have first refusal to buy the home.

If you decide to purchase the home, it will be at the market value when you initially started your tenancy, and not from the time of proceeding to buy. This means you build equity ahead of schedule.

If or when you decide to end your tenancy, we will ask you to give us one calendar months’ notice as a minimum. This will need to be given in writing.

 

Q: Who is responsible for maintenance and repairs to the property?

A: The renter is responsible for general maintenance and upkeep and for minor things not exceeding GHs5,000, whilst We (Rent to Buy Ghana) will provide a maintenance and repairs service exceeding GHs5,000, under the terms of your tenancy agreement.

Further information is in your Tenancy agreement and in your Owners Guide.

 

Q: Can I take a copy of the rent to buy agreement to my lawyer?

A: Yes. We also advise that you seek independent financial and/or legal advice (or any trusted advisor of your own) before proceeding.

 

Q: Do I need to use a lawyer for my Rent to Buy tenancy?

A: Your Rent to Buy Tenancy agreement is a binding legal document, and although we do our best to set out the contents clearly, you may still want to get independent legal and financial advice. We only want you to sign if you understand it.

 

Q: Do appliances or furniture come with a rent-to-buy home?

A: Most of the time, appliances or furniture isn’t included with a lease/purchase.

Generally, the basic appliances may be included at an extra cost – like a refrigerator, stove, oven, and sometimes extras, like a dishwasher, a washer and a dryer. Parts of a property that are installed or attached – like the ceiling fan and air conditioning – may also be included.

Sometimes, we’ll offer a property that includes some furnishings. Most buyers want to bring their own stuff with them from their previous home, and that’s why appliances and/or furniture are sold separately.

We have partner companies (including but not limited to PC24 Store Ghana, Reiny's Ghana, etc) that provide a buy now pay later service for furniture, furnishings or extra appliances, and you’ll get lots of choices on styles and types.

 

 Q: What if I have bad credit? Can I still get a rent-to-buy home?

A: Yes you can! Many people with bad credit can still get a rent-to-buy home. Every situation is different, but we specialize in helping people who have been through tough circumstances (or just made mistakes in the past) to repair their credit and get started on the path to a great financial future. Even if your credit is bad, you can still own a property with us.

One of the major benefits of a rent-to-buy scenario is that it gives you time to repair your credit before you purchase your home. You’ll enjoy many of the benefits of home ownership while you’re rebuilding your credit. So fill out the form at the client area of this website now and get your piece of the home ownership dream in Ghana with us.

 

Q: What is the difference between traditional renting and Rent to Buy?

A: The big difference between traditional renting and Rent to Buy is that you choose a new build home from our portfolio (DCANS Properties pipeline projects) or you choose a property for sale via a third-party other than DCANS Properties and we buy it for you to rent from us. You then commit to a 5-year plan maximum with the aim to buy your home, either with a mortgage or some other means including outright full cash top-up at expiration of the 5yr term.

Your 5-year tenancy gives you time to address any employment issues, save for a deposit, reduce your debt improving your eligibility for either a mortgage or some other financing options. You can buy your house at any time after the first year up to the end of the 5th year.

Note: If you need a normal renting, you can see Rent Now Pay Later (a sister outfit) that allows you to rent any of their available properties and pay monthly and with no 2yrs+ rent advance as exist most of the time.

 

Q: Do you have a pool of properties I can pick from?

A: Yes, you can find them from the client area when you login in. But, also after we have assessed your affordability, and you know how much you could afford to buy, you can choose a property outside of our pool and bring it to us.

If all is in order, we will purchase the property for you to rent from us - We will buy new build houses anywhere in the following towns/cities and its environs: Accra, Tema, Kumasi, Takoradi, Cape Coast and Koforidua. Such properties should have had no previous occupants, under GHs200,000 with a suitable 10-year structural warranty.

Additionally, some property requirements we need to follow, if you are bringing an external property to us for Rent to Buy:

• The house has to be ready to be occupied now or within 6 months

• We do not accept apartments for a Rent to Buy plan

• The house should have one or more bedrooms• Normally the house must have no extras

• The price must include all connection fees for utilities

• All roads and sewers serving the property must be bonded or adopted

• The house must have the necessary consents and approvals

• Any service charges must be reasonable

• The property must be suitable for the applicant’s needs

• We don’t accept properties with non-standard or unconventional construction

 

Q: How do I apply for Rent to Buy?

A: You can apply for Rent to Buy online via this website, from the client area after you have been provided with your free login details after meeting our requirements.

 

Q: Do I need to have seen a mortgage broker to apply for Rent to Buy?

A: Rent to Buy is designed to help people who want to be a home owner but aren’t able to get a mortgage at present. It is a good idea before you apply to understand if you are eligible for a mortgage or not and to understand your credit file. You can find out about your credit file online and about your mortgagability through either talking to a mortgage broker or your bank or any non-bank mortgage provider.

 

Q: I wasn't able to buy my house at the end of my Rent to Buy tenancy, can I apply again?

A: To enable us to give the opportunity of Rent to Buy to as many people as possible, we cannot accept applications from previous Rent to Buy tenants.

 

 

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Ghana.  0244 225 134 (For Callbacks Only: If we need to speak with existing customers or qualified new applicants over the phone, this is the only phone number we would call you from).  support@renttobuyghana.com