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MARKET June 10, 2019

What does it mean to rent a property in Spain with the option to buy it?

What does it mean to rent a property in Spain with the option to buy it?

The rent with option to buy- is the answer to the people who want to buy a property but because of their current situation, they cannot take a mortgage. With this model of the rental agreement, the rent option allows investing the rent money in a possible subsequent purchase of the rented house.

We invite you to see below all the keys and secrets of the rented property with the right to buy it.
Rent with option to buy - How does it work?

The main point is that the tenant rents a home that he intends to buy at a certain time in exchange for a series of advantages
The operation of a rental contract with the right to purchase is very simple. Basically, it is a double contract. On the one hand, we have a part that will refer to the rent and another part to the subsequent purchase and sale of the property. These advantages are the total or partial discount of the monthly rent of the final price of the house. In addition, the client pays a bond generally higher than what is usually price for a normal lease, which, if not made the final sale purchase will become the property of the landlord.

Opting for this type of rental contract is not synonymous with paying more in the monthly rent, it is simply a contract format that allows the payment to be converted into amortization of the final purchase.

Legislation of rent with option to purchase:

The legislation on rental contracts with the right to purchase is a bit diffuse. This type of contract is not reflected in the Civil Code. However, in Article 14 of the mortgage regulation and in some articles of the Urban Leasing Law if mentioned.
This type of contract consists of two contracts, one in terms of the lease of the home and the second in terms of the commitment to purchase the home after the period of time established.

Requirements for contracts with purchase option

In a contract with a purchase option, stipulated must appear:
1. Specification of the period of time after which the tenant agrees to make the purchase of the rented property.
2. Determination of the property to be purchased.
3. Specification of the final price of the property.
4. The concession to the tenant to decide unilaterally if he decides to keep the rented house or not.
5. Rental price and what percentage of it is applied as a deposit in the final payment
6. Amount of the initial premium.
7. Now that you know all the keys to rents with a purchase option, what do you expect to find the house of your dreams?
Take a look at our catalogue of properties we are offering and if you have any questions do not hesitate to contact us.

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