Rent-to-Own

So, if the old cliche is "Location, Location, Location!", the new one is "Location, Location, Financing."  At least that is the growing consensus among real estate professionals I've been talking with lately.  It seems as though I heard this first regarding the commercial sector of real estate, mostly because banks had tightened their lending regulations.  More and more often though, over the the past few years, I have been fielding calls about "Rent-to-Own," "Lease-Purchase Options," and "Owner Financing."  This is mainly because of the bind that many Americans found themselves in during the last recession...... Unemployed or Under-employed, growing debt, and slimming wages.  Some lost their homes and some had to sell it short of what was owed on it (short-sale).  Even though these friends, family members, and/or neighbors have had to resort to renting, they still have the dream of home-ownership.  Even with the recent flubs in the market, it hasn't put too much of a sour taste in their mouths.  Now that the "Wild West" days of creative financing are over, I think Owner Financing and Rent-to-Own Options will take the place of ARM's and other crazy stuff that a lot of people don't understand how to use responsibly.  If you are an owner that has the ability to take advantage of the market in this manner, you could find yourself moving up and still keeping the old house (at least for a while) to generate passive income and help you build true wealth.