Impact-Site-Verification: 59dd913e-d960-427c-8346-c2264d98dcae

Included with LeaseCraft Annual · Preview free

Rent-to-Own Agreement (Lease with Option to Purchase)

Create a lease with an option to buy the home: rent, option fee, purchase price, rent credits, exercise deadline and closing. Preview first.

Start your Rent-to-Own Agreement Browse documents
Guided questions Preview before you download PDF and editable Word (DOCX)

What this document does

A residential lease combined with an option to purchase the home, for an owner who rents a house, townhouse or condominium to a tenant who may buy it later: the lease terms, the option fee, a fixed or appraisal-based purchase price, any rent credit, how and by when the option is exercised, closing, and what happens to the option fee and credits if either side defaults or the option is not used. It is a lease-option only: the tenant is never required to buy, and it is not a contract for deed, an installment sale, or a lease-purchase agreement that obliges the tenant to buy. Where LeaseCraft has verified a state's rules for these agreements it follows them; in some states it is offered with a note that those rules could not be verified and should be confirmed locally; and it is not offered in states whose verified rules it cannot meet.

What it covers

  • Parties
  • The Home and the Lease Term
  • Rent and Deposit
  • Living in the Home
  • The Option to Purchase
  • Exercising the Option and Closing
  • Default and Ending the Agreement
  • Additional Terms
  • General Provisions

A template you fill in yourself from your own answers. LeaseCraft is not a law firm and does not give legal advice; for advice about your situation, talk to a lawyer.

How it works

1

Answer the questions

Plain-language questions about the people, dates and terms.

2

Preview it free

Read the document built from your answers and change anything before you download.

3

Download PDF and Word

Included with LeaseCraft Annual ($19.99/year).

Questions about the Rent-to-Own Agreement

No. This agreement is a lease with an option to purchase. The tenant-buyer may buy the home by giving written notice no later than the exercise deadline, but is never required to. It is not a contract for deed, an installment sale, or a lease-purchase agreement that obliges the tenant to buy.

You choose. The seller-landlord either keeps the option fee or refunds it less amounts owed, and rent credits either end or are refunded less amounts owed. If the seller-landlord defaults, the agreement always refunds the option fee and pays out the credits.

Either as a fixed price agreed when the agreement is signed, or as the home's appraised value after the option is exercised, with an optional lowest and highest price. With an appraisal, the tenant-buyer may withdraw the exercise after seeing the report.

No. Some states regulate rent-to-own and lease-option agreements with their own required terms, notices, and recording. Where LeaseCraft has found and verified a state's rules, the agreement follows them. In some states it is offered with a note that LeaseCraft could not verify the state's rules, and you should confirm them locally before signing. Where a state's verified rules require something this agreement cannot meet, it is not offered for that state and you will see the reason and a link to the official source.

You decide whether the seller-landlord or the tenant-buyer handles the roof, structure, and major systems, and up to what cost the tenant-buyer pays for other repairs. The seller-landlord keeps paying any mortgage, taxes, and insurance and may not add new liens while the option lasts.

Create your Rent-to-Own Agreement

Answer the questions, then preview the finished document before you download it.

Start now
Draft saved
Home
Create
States