Rent-to-Own with RTO Property

How does Rent-to-Own work?

Each month $150 of your rent is applied towards the purchase of the home you are renting. Instead of your entire monthly payment going towards rent, our program enables you to begin the purchase process while you rent.

How much does the house cost and what is the rental cost?

Home prices vary depending on the size and location of the property and are based on the bank appraisal value determined by recent sales of similar properties and by current market trends. The price of our homes is very competitive with all homes on the market. The rental rate listed INCLUDES the $150 per month that is credited towards the purchase of your home. 

How long is our lease?

All leases for single family homes are 3 years. We provide this term to enable resident to save additional money for a downpayment, improve their credit, and prepare for homeownership without the fear of having the price of the home they want to own going up. The price is locked in for the full 3 year term of the lease. Multi unit apartment leases are typically 12 to 24 months in length. 

Is the rental amount fixed for the full term of the lease?

Yes. The amount of lease for the first 12 months is stated in the listing and all leases include a fixed 3% increase after 12 and 24 months to offset the increase in property taxes. Your payment can not increase more than the agreed upon amount of lease plus this 3% adjustment for the property taxes increase. If the taxes do not increase, then this 3% increase will be added to your security deposit refund if you decide to move at the end of the lease. 

How much can I reduce the price of the house on a Rent-to-Own program?

After a 3 year lease, you will have reduced the price of a home by $5400. You can continue to rent after the time period, and each month you will continue to earn the $150 credit towards the purchase of your house. 

When am I eligible to purchase the property?

After you lease the property for 1 year you are eligible to purchase the home. If you do not purchase the home by end of your initial lease term, the price of the home can be adjusted, up or down. Your lease can be renewed, and you can continue to reduce in your purchase price of your home, but it may be at a new purchase price if the home is not purchased during the initial term of the lease. 

Can the price of the home increase during my lease?

No. During the term of your lease, the price cannot change. After the lease ends, RTO Property does have the right to increase or decrease the price of the home based on the market conditions. RTO Property has only decreased the price of our homes to date due to market conditions.

How can I qualify for this program?

Qualification is similar to a typical lease. Simply fill out the lease application and provide employment information, current lease/mortgage information and credit information. We have worked with families that have experienced hardships such as bankruptcy and foreclosure on their home. 

How much do I have to put down?

Similar to a typical lease, RTO Property requires a security deposit and first months’ rent, as well as the last months’ rent. All applicants will be required to earn 3.5 times the monthly lease pay in total household income, in addition to other qualifications as required by federal and state regulations. 


Contact us to discuss the Rent-to-Own program in more detail.

Additional Resources

Visit our resources page for more helpful tips for renters and homeowners.

Berg Holdings sells home on Rent To Own Program

Rodolfo and Vanessa Delacruz have purchased the property at 2441 Huron St in Waukegan on December 3rd, 2015 from Berg Holdings Inc. Rodolfo and his family leased the property for 32 months at the time of the sale which provided them with a $3900 credit towards the purchase of the home.  The property is a 4 bedroom, 1.5 bath home which was renovated in 2013 with all new mechanical systems, new kitchen, new bathrooms, partially finished basement, new roof, new siding, new windows, and more.  The home was a vacant property described as a “drug house” by neighbors prior to purchase by Berg Holdings in 2013. They agreed on a purchase price of $99,900 when they moved in the home back in 2012, and after closing credits, they purchased the home with a very limited of there own money. The home appraised for significantly more than the agreed upon purchase price that was offered to them back in 2013.