How does ‘Rent-to-Own’ work?

Where do I start?

What is the DAVY Equity Boost program?

Can you fix or improve my credit?

What expenses should I expect to pay when I Rent-to-Own with DAVY Properties?

What if I am not able to get my mortgage loan at the end of my rental period?

What should I do if something physically happens to the house?

Can I rent-to-own with no money down?

What are the minimum qualifications for DAVY Rent-to-Own programs?

We have three main requirements to participate in any of the DAVY Properties rent-to-own programs:

First, you must have a strong desire to become a homeowner. If that is not your end goal, we won’t be able to accept you into any of the rent-to-own programs.

Second, an up-front down payment is required for any of our properties, so your ability to put some skin in the game is mandatory. The exact amount of your down payment will depend on the home you choose and your personal situation. However, typically, it ranges between 3% and 15% of the purchase price. The entire amount of the down payment will be applied to your purchase price, when you eventually close on the property.

Third, and most importantly, we expect your full commitment to the rent-to-own program and your credit enhancement plan. We want you to win and become a homeowner, so it is critical that you work diligently with us to convert you from a renter to a homeowner by the end of your rental period.

Please note: poor credit score or credit blemishes will NOT disqualify you from our programs, so don’t hesitate to consult with us.

If I don't qualify, can I still get accepted into your Rent-to-Own programs?

No, if you don’t qualify, we can’t accept you. It would be unethical for us to accept you knowing that you won’t be mortgage-ready to buy at the end of the rental period.

How much down payment will I need?

In general, the down payment is 3-15% of the purchase price. The exact amount will depend on the home you choose and your personal situation. In some cases, we may have flexibility and may allow you to move in with a partial down payment. However, you won’t be able to move in without an acceptable plan to come up with the remaining down payment.

How soon do you need my down payment?

At the time of closing with our attorney. Typically, your closing will be scheduled no more than ten days out from the date you are accepted into one of our programs. So, assuming you toured one of our homes and you loved it, you should have your down payment ready pretty soon.

My credit score is low. Can you still help me stop renting and start buying?

Nine times out of ten the answer is ‘YES’! It is very rare that we come across situations we can’t help with.

However, before anything happens, we need to have your situation fully evaluated. Our credit specialists need to assess the whole picture and establish an actionable plan to correct it. And we need to discuss this plan with you. We won’t accept you and won’t move forward until we all know, understand and agree with the plan of action.

If you choose not to proceed, that’s perfectly fine. We want you to win, but we also need you to be fully comfortable with the program and the plan.

How soon can we move in?

This can happen very fast, but it’s mostly based on how quickly you follow through on each step of the program qualification process. For example, if the background check requires proof of your income, nothing else is happening until you provide it.

Some tenant-buyers can find a house on Monday and move in by Friday. Others need a little more time.

How long is the average rental period?

The length of your rental period is always based on the evaluation from our third party credit consulting agency and your level of comfort with their projections. Typically, if you follow the program and the credit enhancement plan, you can qualify to purchase in 12-24 months.

Will I need insurance on the house?

Yes, during your rental period you will need renter’s insurance. It protects your contents and your liability in the event someone gets hurt on your property. It also protects you in the event the house is damaged. Once you convert from renter to homeowner, you will need homeowner’s insurance.

How important is it to make monthly payments on time?

If you’re serious about becoming a homeowner, there is nothing more important than making all of your payments on time. Very often, your mortgage loan is decided upon both your payment amount and payment history with us during the rental period of your ‘rent-to-own’ program.

Can I have an inspection done?

Yes! Absolutely! Of course! We always welcome you to have an inspection done before committing to the rent-to-own program.

How much commission do you charge?

None! We are not realtors or brokers, so we don’t charge any commissions.

Are you realtors?

No! DAVY Properties, LLC and affiliated or subsidiary companies (“DAVY Properties”) are not real estate brokers or agents. DAVY Properties does not provide realtor services to the public, or to any of the parties to which it has contractual relationships. DAVY Properties is a real estate investment company.

Designed for people, who want to become homeowners, but can’t qualify for a mortgage loan today.

Available to everyone willing to commit their time and energy to become mortgage-ready, while living in the home they want to buy.

Ideal for those, who need extra time to save for a down payment or need “seasoning” in the eyes of the lender.

Not miracle cures with instant results. They won’t work for anyone, who is unwilling to put in the time and effort into the program.