Rent to Own Homes in Pontiac
The below results are primarily rent to own homes in Oakland County, MI:
If you drive approximately 30 miles northwest of Detroit, you’ll find the west-central Michigan city known as Pontiac. This area was originally grouped with two surrounding cities to form Pontiac Township, but the township is no longer in existence. The city is now overseen by the Pontiac City Council and is home to the Pontiac City Airport, Pontiac High School and multiple scenic lakes and parks that attract families and young professionals. Some of the most noteworthy areas for outdoor recreation include the beaches of Cass Lake, Galloway Lake Park and Hawthorne Park.
Like Detroit and other cities in this region of Michigan, Pontiac once depended on the automobile industry to maintain a lucrative economic base. When the industry started to struggle and the many auto plants within the city closed their doors, the city was forced to reevaluate and bring in jobs through new industries. Today, the city’s major employers include St. Joseph Mercy Oakland, Oakland County, the U.S. Postal Service and a variety of industrial employers.
Many residents spend a lot of their free time exploring more than 20 art installations and a variety of small retail shops located downtown Pontiac. This area also proudly features a self-guided walking tour of Motor City exhibits and historical sites. This is a great tour to take if you’re new to town or just want to learn more about the history of Pontiac.
Buying a Home in Pontiac
This city offers one of the most affordable real estate markets in the United States. While the many cheap homes in Pontiac are attractive, it’s important to consider the time and financial investment required to turn some of those properties into livable homes. There are many established neighborhoods with older homes for sale, but you can still find newer constructions with upscale amenities in select communities.
Popular Neighborhoods in Pontiac
You’ll find one of the most popular Pontiac neighborhoods in the southwestern corner of the city. The community falls south of Golf Drive and north of West Square Lake Road with Traymore Road serving as the eastern boundary. The median cost of housing in this area is more than $200,000, so this is the most expensive area in town. The neighborhood is established with homes built prior to the year 2000. The vacancy rate is typically around 10 percent, so it’s not difficult to find homes from this community on the market.
For more affordable real estate prices in a safe area of town that is family-friendly, look in the northeastern corner of town. This community is just south and northwest of Fieldstone Golf Club and incorporates Walter Charter Academy, Jaycee Park and a variety of retail shops and restaurants. The median retail price here is around $100,000, and the vacancy rate is typically lower than 15 percent. The community is established with most homes built prior to the year 2000.
Buying vs. Rent to Own Homes
If you dream of purchasing your own home in Pontiac but aren’t ready to submit your financial life to a mortgage lender, consider a rent-to-own property. Instead of securing pre-approval for a loan right away, you will have the chance to live in your future home as a renter. In some cases, a portion of your monthly rental payment can count toward your down payment. When you’re ready to secure financing, you can purchase the property. This is how you transition from a renter to an owner while living comfortably in your new home.
Cost of Living in Pontiac
It’s common for residents to pay more than 50 percent less than the national average for homes in Pontiac. The cheap cost of housing creates a low overall cost of living that allows even those with limited budgets to own their homes and live comfortably. You can expect to pay slightly above-average prices for utilities, and many residents pay more than average for transportation. You can find affordable foods and everyday goods and services, and that contributes to the reasonable cost of living overall.
Pontiac, Michigan, was once known as a major industrial hub for the automotive industry. While there are still some automotive jobs available in town, the city now offers more jobs in healthcare and a variety of additional industries. The city features a variety of scenic lakes and parks, including some public lakeside beaches. With affordable housing and some family-friendly communities, this is a good place to call home if you’re living in Michigan on a tight budget.
Rent to Own Realtors
When it comes to contracts, there are usually plenty of loopholes. You don’t want to be blindsided because your counterpart in a rent to own deal knows them better than you do.
A realtor might be the logical person to ask for help with a real estate deal, but instead, you should consult with a lawyer to ensure that your lease-option contract benefits you just as much as it benefits the other party.
Realtors likely will not want to help you with a lease-option because they don’t make a lot of money off of them – at least, they don’t make a lot of money until the end of the lease, and that isn’t a guarantee.
Regardless, a lawyer will have more accurate information about your contracts anyway.
About Our Listings
Whether you’re interested in purchasing a condo or a townhouse, or if you’ve been touring apartments and houses, rent to own can be a good option for buyers – often with no credit check.
Just because the seller isn’t checking your credit score doesn’t mean you shouldn’t worry about it. You’ll need to have a credit score high enough to qualify for financing if you want to succeed in a rent to buy deal.
In rent to own by owner programs, sellers want to make a profit off of their properties. They will earn rent money from you whether you successfully buy the house or not. So, they don’t really worry about whether you have the credit score to buy it at the end of the lease.
Lease to purchase deals from a company are often less successful than from an owner because companies tend to snatch up cheap foreclosed homes and lease-option them on an “as is” basis.
Owners who are eager to sell their property may ask you to sign a lease-purchase agreement, which is very different from a lease-option because instead of having the option to buy the property before the end of the lease, you legally have to buy it. That can be difficult if you start the deal with bad credit and cannot bring it up high enough to qualify for a mortgage.
Looking for rent to own listings near me? Start your search on the Rent to Own Labs database.