Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 54%
$32.50 /mo
$390 billed annualy
MONTHLY
$69 /mo
billed monthly
7 day free trial. Cancel anytime
×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 5 years ago on . Most recent reply

User Stats

6
Posts
2
Votes
Ryan S.
  • Rental Property Investor
  • Ontario, Canada
2
Votes |
6
Posts

Lease-option / Rent-to-own Canada vs US

Ryan S.
  • Rental Property Investor
  • Ontario, Canada
Posted

With the current turbulence in the rental markets in terms of iffy payments and evictions being halted, I'm looking at employing a lease option strategy for the next while as I move from the Canadian market into the US market.  Most of the process seems the same, but there is one particular difference I have noted and I haven't figured out why this is, hoping someone on here who is doing this regularly can answer.

In the US, it seems investors find a home, purchase it, perhaps fix it, then put it up as a rent-to-own and try to find a tenant buyer that can afford it and want to buy it as well as rent it first.  In Canada, the way everyone seems to be doing this (that I know of) is find the tenant-buyer first, figure out what their purchasing power will be after the set term (usually 3 - 5 years) and then have them find a house that is for sale within their future budget and you as the investor purchase it on their behalf then rent it to them.  This way to me seems much easier as they find their ideal home that they can afford rather than having to like the house you have already. 

I realize the rules are state by state but is there some reason you can't do this the 'Canadian' way that I'm yet to stumble across?  

Thanks! 

Loading replies...