Rent to own is a real option that has helped thousands of families buy their first home. As with anything - there is the potential for scams - so buyers DO need to beware when dealing with ANY real estate transaction as all of them have the potential for fraud. Thanks for helping bring awareness to the issue. I plan to sell my home using "rent-to own" where I will carry the paper for some buyers. I want to do this so that I can receive a stream of income from the property instead of just selling it for cash. I will ask more than market price for it and people will be willing to pay if they can bypass the bank and get direct financing. The buyers will make a payment to me every month - this is why most investors offer this option.

You do need to be careful though -

Always be sure to do a title search to make sure you understand who the owner is and what liens might be on the property. Buy title insurance to protect yourself from fraudulent sellers.

Always do a home inspection to make sure you are not dealing with asbestos or foundation issues

Great write up - thanks for sharing!