RENT TO OWN FAQS

Do I have to be a certain age to lease from Innovative Property Solutions Inc.?

We ask that you must be at least of legal age to qualify. In Alberta, the legal age is 18. Our goal is to provide a win-win situation for everyone and we consider each of our clients based on their own situation.

What steps do I need to take to qualify for the program?

Unlike traditional lending institutions, IPS believes everyone deserves a chance to obtain homeownership regardless of their past credit history. Our approval process is relatively simple. All you need is a reliable monthly income that can support your payments and the willingness to be honest about your credit. IPS’ only focus is to qualify the proper prospective homeowner to the right property. Therefore if the individual cannot qualify for our program, we in no circumstance will approve the application.

Will I still qualify if I have poor credit?

There are many different measures of what is considered “poor credit” and it all depends on your situation. That is why we work on a case by case basis. As long as you are willing to be honest about your credit history, we will work with you to achieve your goal of homeownership. We believe everyone deserves the opportunity to be a home owner and it is our goal to provide a win-win situation for everyone.

Will I still qualify if I am new to Canada?

Definitely! At IPS, we do not agree with the norm of thinking that no credit means bad credit or a low credit rating. You should not be penalized for having to make changes in your life like moving to a new country. That being said, we will work our hardest to help you build a good credit rating along the way through our IPS Credit Building Program and referral to other credit building programs or firms who deal with credit re-building.

Is a down payment or initial deposit required?

The minimum deposit that is required is 2.0 - 5.0% of the agreed purchase price of the home. Gradual  monthly payments can be arranged to build up an initial deposit so you can be approved for the Rent to Own Program.

What forms of a deposit do you accept?

For the initial deposit, we ask that you have a certified cheque, bank draft or money order. There are other assets that we will also consider on a case by case basis. Please Contact us if you would like to discuss your specific situation.

Do I have to provide IPS with the full deposit up front?

If you do not have the minimum initial deposit required of 2.0 - 5.0 %, IPS can arrange to set up a gradual payment plan with you to accumulate your deposit. These gradual monthly savings payments will be collected by IPS and put into trust with a lawyer. This will allow you to be well on your way to being approved for the IPS Rent to Own Program and closer to your goal of homeownership.

What happens at the end of my lease?

At the end of your lease term, the ultimate achievement is qualifying for a mortgage and getting a home to call yours. This is the reason why you would be a part of the IPS Rent to Own Program to realize your dream of homeownership. At the same time, you are not obligated to exercise your “option to purchase”, therefore you have options. If the “option to purchase” is not exercised, you would forfeit all money accumulated through the initial deposit, as well as monthly credits. There are other options available if purchasing the house is not feasible, however this would have to be discussed in advance before the lease term is up.

What do I need to qualify for conventional financing at the end of my lease term?

Every conventional lending facility has its’ own qualification standards. At IPS, we can help by providing you a unique plan in which we aim to repair any credit blemishes and build up your down payment. We will strive to get you that much closer to owning your own home. By closely working with you as our client, we can create a winning situation in the end where you can achieve your goal of homeownership. At IPS we deal with competitive mortgage brokers and financial institutions where we can refer you to their products that will suit you best.

How long do I have to wait before I can move into my new home?

Once IPS has approved you for the Rent to Own Program and received an initial deposit, we will purchase or find a suitable home for your needs. When this step is complete with the lease agreement signed, you can consider the home yours.

Can I negotiate on the purchase price?

We cannot negotiate on the purchase price. However, based on approval, the terms and conditions of the monthly payments can be adjusted somewhat. It all depends on the amount that you are prepared to put down as your initial deposit.

Do I have to pay for maintenance?

As you are the future owner of the home, you are responsible for the upkeep and maintenance of the property.  

Are pets allowed?

As the future owner of the property, that is your choice.

Can I rent out the property or am I required to live in it for the term of the agreement?

You do not have to live in the property and you may rent out the property; but please keep in mind that you are still responsible by the terms and conditions listed in the lease contract that you have with IPS. Essentially, you are still responsible for any maintenance, repairs and/or damages that may occur in the property. This request would have to be submitted to IPS in writing where IPS has the right of refusal .

Am I responsible for paying the property taxes and insurance?

Property taxes, insurance on the house, and condo fees (if applicable to the home your living in) will be the responsibility of IPS. However, you are responsible for providing content insurance for all your personal belongings that you have inside the property. We also require that you provide us with a copy of this policy. This is only to fully protect your own well being.

What happens if I want to move before my lease is up?

There are several options that are available to you. You may rent out the property, however please remember that you are still liable under the terms and conditions of the Rent to Own contract. If these circumstances were to arise, you would have to speak to us to develop a feasible option.

 Is it possible for me to sell the property?

Yes. As long as all the terms and conditions of the contract are met, you may sell your interest in the home.
 

What if my circumstances change and I am unable to make my monthly payment?

As with any lease agreement you sign, you are responsible by the terms and conditions of the contract. If you fail to make your payments on time, you will be in default in accordance to the terms and conditions of the contract. Please keep in mind that any late monthly payments will forfeit that portion of your monthly credit.

Can I choose to not carry on with my agreement at any time?

If you choose to terminate the agreement at any time, you will lose your initial deposit, as well as the monthly credits accumulated throughout the lease term.

Before signing the lease agreement, will a home inspection be done?

Before IPS purchases the home you want, we will arrange and pay for a home inspection from a certified inspector. We will provide a copy of this inspection to you and go through the inspection points with you. IPS will ensure you are satisfied with the home inspection before further continuing the home purchase process.