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If you are looking to rent to own a property, it is important to have a solid contract in place to protect both the buyer and the seller. A rent to own contract, also known as a lease-purchase agreement, is a legal document that outlines the terms of the agreement between the two parties. Here is a sample rent to own contract that can guide you in developing your own:

PARTIES

This agreement is made between the [SELLER’S NAME], the “Seller”, and [BUYER’S NAME], the “Buyer”.

PROPERTY

The property being rented is located at [PROPERTY ADDRESS] and is owned by the Seller.

PURCHASE PRICE

The purchase price of the property is $[PRICE] and the parties agree that the purchase shall be made on or before the expiration of this agreement.

RENT PAYMENTS

The Buyer shall pay rent in the amount of $[AMOUNT] per month, on the [DATE] day of each month. Rent payments shall be credited towards the purchase price of the property.

DEPOSIT

The Buyer has paid a deposit of $[AMOUNT] to the Seller, which shall be applied towards the purchase price of the property in the event of a purchase.

TERM

This agreement shall commence on [DATE] and shall terminate on [DATE]. At the termination of the agreement, the Buyer shall either purchase the property or vacate the property.

PURCHASE CLOSING

The parties shall close on the purchase of the property on or before the termination of this agreement. The Buyer shall obtain financing to complete the purchase.

DEFAULT

In the event of the Buyer’s default, the Seller shall retain all rent and deposit payments and may terminate this agreement.

MAINTENANCE AND REPAIRS

The Buyer shall maintain the property and make all necessary repairs to the property. No alterations, additions or improvements to the property shall be made by the Buyer without the written consent of the Seller.

INDEMNIFICATION

The Buyer shall indemnify and hold the Seller harmless against any and all losses, damages, claims, liabilities, and expenses arising out of or in connection with the Buyer’s use or occupancy of the property.

NOTICES

All notices or communications required or permitted by this agreement shall be in writing and shall be deemed to have been duly given and received when delivered by hand, by mail or email.

GOVERNING LAW

This agreement shall be governed by and construed in accordance with the laws of the state of [STATE], and the parties irrevocably submit to the exclusive jurisdiction of the courts of [STATE].

This sample rent to own contract can serve as a starting point for creating your own. It is recommended to have an attorney review your contract before finalizing it to ensure that it complies with all applicable laws and regulations. By having a thorough and well-crafted agreement in place, both the buyer and the seller can feel confident in their rental to own arrangement.