The Way Canadians Can Become Homeowners

1. The Way Canadians Can Become Homeowners Rent To Own | Power Of Sale | Credit Management

2. Synopsis • Rent To Own A Condo: A Dream Or A Nightmare? • The Best Win-Win Option To Have A Home In Canada • Rent-To-Own Property: A Profitable Choice For Canadians • Benefits Of Hiring An Excellent Canadian Credit Management Expert For Your Business • Getting To Know Power Of Sale In Canada: Main Elements Regarding This Concept

3. Rent To Own A Condo: A Dream Or A Nightmare? • The benefits of a rent-to-own condo are many. Firstly, regarding the maintenance of the place, it is not a secret to anyone that furniture suffer decay with the passing of years. Consequently, a simple change of water pipes, or replacing faucets can cause regular expenses to your pocket. Families in condos don’t have to worry about these issues as condo managers have to deal with these problems. Renting a condo does not pose any responsibilities regarding repair, renovation or even maintenance of properties. In fact, renting to own a condo depends on the lifestyle of each family. For example, for Canadians who feel identified to the sense of community, the life in a condo is a good scenario. It has been proven that people that rent a condo tend to coexist much closer with the other similar families than when living in a house. • Regarding the condo legislation in Canada, it is very efficient and is not that restricting. The usual limitations found in these rules are the amount of persons per unit, the presence of pets, partying times, among others. These and many more are very explained in the Canada Mortgage and Housing Corporation Guide, which is found in every condo throughout the country.

4. The Best Win-Win Option To Have A Home In Canada • It´s easy to see the benefits of rent-to-own homes for tenants. There are many people in Canada who cannot apply for a mortgage due to their insufficient income record. Taking this into account, people can improve their records during this period. By paying on time your rental according to what is established in the rent-to-own home contract, may improve your payment record and your chances to get a loan. Sometimes it´s impossible to achieve, in a short period of time, the necessary down payments to get a mortgage (normally between 2% or 3% of the total value). Rent-to-own home is a viable option to enjoy a home while creating the necessary conditions to buy one permanently.

5. The Best Win-Win Option To Have A Home In Canada • For Canadian landlords, there are some other benefits. If you are a person who has tried selling a house for some time without no success, maybe you should consider solving this problem by simply renting it. According to research done about the Canadian real estate business, the majority of rent-to-own home tenants end up buying the house. So, if you can create a rent-to-own contract, your chances to sell the property will increase. Moreover, this kind of tenants are more committed with the property, because they feel a sort of attachment to that place. Besides, this kind of contracts gives the landlord certain frequent sums of money to cover any damages that may be caused by tenants. Also, in the long run, the rent fees are an alternative for not completely selling the property. • There is also another benefit of rent-to-own homes which may change according to landlords and tenants. In the contract the purchase end price is agreed. After this, despite the fluctuations of the Canadian market, the price will remain unchanged.

6. Rent-To-Own Property: A Profitable Choice For Canadians • This option is also known as “lease purchase”. It allows tenants to buy the house they are leasing. In order to do that, they would pay a few more dollars over the normal rent payments in the local market. Many Canadians think this option involves interest rates but it actually does not. The only thing you pay besides your normal rent is an amount of money to create a fund which would work as down payment until the property is finally bought. That´s why your monthly rental will be a bit above market prices. • An essential aspect in this issue is the presence of a lawyer. Since this kind of contracts are very technical, the best thing that tenants and landlords can do is hire one to write the papers after a preview negotiation. Legal advisory is useful for both in order to do everything according to the law and to avoid further misunderstandings. • As a tenant, the most important thing for you is to take over control using your “option fee”. This is how the above-mentioned amount of money comes into play. You should always be notified that this money has been received by the landlord. To do so, you can ask him/her for bills to make sure. Another thing that is recommended by experts is trying to include your name in the title of the property. This is very difficult, but if you can get it done, it is harder to be affected by a breach in contract.

7. Benefits Of Hiring An Excellent Canadian Credit Management Expert For Your Business • Firstly, a Canadian credit management expert is primordial in identifying which customers have high credit risk, meaning, which are less likely to pay you back the money. They have the power to cause significant limitations to your cash flow and ultimately make you lose money. An expert will check their credit potential through various ways like credit risk reporting which points out a dark past in a company’s credit history and payment practices. A credit report doesn’t mean that in the end you will actually get paid with real money, but it reduces the risk of a non-payment outcome. • Secondly, credit management services not only stop at credit risk studies. It goes beyond that. For instance, after identifying clients with a good credit background, there still remains an ongoing credit monitoring to determine if their credit risk balance changes. This will alert your business immediately so that you can take precaution actions to protect yourself financially and at the same time, guarantee your payments.

8. Benefits Of Hiring An Excellent Canadian Credit Management Expert For Your Business • Thirdly, a credit management expert can be the right person to aid in drafting payments contracts which warranties your payment in the future. Clients in Canada which are not keen to signing them are potentially inclined to not paying you with actual cash. Having professional assistance ensures that your terms are always respected when dealing with clients. And if it gets to trial, experts can demonstrate bad faith in your clients’ behalf as well as preparing excellent settlement offers to make you come out on top. • Last but not least, it is normal that you don’t know the specifics regarding credit management. A Canadian expert on the field can not only assist you but also teach you the basics to manage effectively your credit. Showing you the tools to guarantee your financial status on your own can make a complete difference when you can’t afford a credit management expert indefinitely.

9. Getting To Know Power Of Sale In Canada: Main Elements Regarding This Concept • There are many elements which help us understand its functioning. When a Canadian vendor is selling the property under Power of Sale, he/she must pay out all prior encumbrances like mortgages or liens. However, lets bear in mind, that dealing with mortgages is very tricky, and POS is not exempt of its effect. For instance, if a house is sold in Canada under mortgage for the first time, it can employ Power of Sale by including the bank and fixing the situation. But a second mortgage of the same property loses the claim and right to Power of Sale. • Also when the property is on a mortgage, and a Canadian bank sells it using Power of Sale for a superior price than that of the mortgage, the remaining money goes to mortgagor/previous owner. This same argument goes on the opposite direction when, for example, the bank is unable to sell the property for the price of the debt. Despite selling using POS, the new buyers will get the property clean of debts but the bank can sue the previous owners.

10. Getting To Know Power Of Sale In Canada: Main Elements Regarding This Concept • Seeing this only sheds some new information about Power of Sale, we can also see how complicated it is. But don’t be frightened, there are many benefits regarding this type of transaction in Canada. Firstly, it’s the time. When buying under Power of Sale, there are no court actions hence making it much faster and efficient to sell than to sue for possession and then selling, also known as foreclosure. Secondly, it’s the cost. Selling under POS requires the entire process to be done in the solicitor’s office, making it cost-effective to avoid going to court. Thirdly, it’s the clearance of encumbrances. POS makes it possible for you to acquire the property and involve the bank to solve any debts directly with the mortgagor.

11. The End • For more details, please visit: • https://homeownersoon.com/