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Frequently Asked Questions
Q. What are the benefits of the Carova Lease 2 Own Program?
A. The Carova Lease 2 Own Program is a bridge to homeownership. Once you find the right Carova home for you, you can move in immediately. During your lease you earn credits towards the purchase of your home while improving and maximizing your credit score and building financial knowledge through our free Financial Fitness Program.
Q. What are the application fees and how much are they?
A. There are none! Your application is free.
Q. Do I need to have perfect credit to enter the program?
A. No - the program is intended to help people with understandable or repairable credit problems. Many people are surprised to hear than they do qualify for this program.
Q. How much money will I need to qualify for the Lease 2 Own?
A. The Lease 2 Own is really both a lease and an agreement to purchase a property. While you are leasing, you will need to be working towards purchasing the property. In order to best position yourself to obtain a mortgage within two years, Carova usually requires at least $2,500 down plus the first lease payment before you can more in. Then you can build up additional down monies while leasing the property.
Q. Who is the ideal lease purchase candidate?
A. Carova's lease purchase program is intended to "bridge the gap" between a tenant and becoming a homeowner. The program serves those who would not qualify to obtain a mortgage today, but will likely qualify for obtaining a mortgage within two years. Not everyone is in a position to become a homeowner, and not everyone does qualify for our program. The ideal candidate is someone with at least $2,500 in cash, decent income, and some understandable credit problems.
Q. What are my responsibilities under the lease purchase program?
A. Your primary responsibilities are to pay your rent on time, take good care of the home, and to work with our Financial Fitness Program. Carova purchases a one year home warranty for our new tenants which covers repairs for most items in the home (and can be renewed annually by you). Any repairs not covered by the home warranty are the responsibility of our tenants.
Q. Am I guaranteed to own the home within two years if I enter the Carova Lease 2 Own?
A. Put simply, no. However, if you pay your rent on time, resolve the credit issues outlined to you, and work with Carova as a team, it is almost certain that you will own your home within two years.
Q. Can I purchase the home sooner if I can get a mortgage sooner?
A. Absolutely! As soon as you are able to obtain your financing, we encourage you to complete the purchase of your home.
Q. Where do I go to obtain my mortgage?
A. Carova is not a mortgage company. We encourage you to shop around for the best possible loan you can obtain. You have two years to shop! If you request our help, we will gladly refer you to lenders with whom our former clients have been pleased, but we still encourage you to shop around. |
