The Rent to Own Condo Blueprint: Your Guide to Homeownership
Condo properties that provide potential homebuyers the financing opportunity of "rent to own" is an alluring housing choice that offers the best of both worlds. Whether you're a first-time homebuyer, or simply looking for a flexible and convenient housing option, having a rent-to-own condo may be the most practical choice.
Learn more about what rent-to-own really means, the perks, and everything you need to know about how it works.
What is a rent-to-own condo?
A rent-to-own condo is where you pay rent for a condo unit at a fixed price to fully own the place once the agreed duration and dues have been made. Under this scheme, rental fees will, later on, serve as your down payment in the event that you decide to buy it for good.
In simpler terms, rent-to-own provides the opportunity to rent out a certain condo unit until you decide to purchase it once the rental period ends.
If you’re still undecided, allow us to give you more reasons to invest in DMCI Homes rent-to-own scheme, or Home Ready to make those dreams in a more affordable and viable fashion.
How much is a rent-to-own condo?
A condo unit in the Philippines would really depend on how spacious you want it to be. As a baseline, a one-bedroom unit in DMCI Homes starts at around PHP 2 million. Now, a payment scheme for a rent-to-own unit is a little different from directly buying one. Don’t get overwhelmed, because we’re here to explain how the Home Ready payment scheme works.
- 60% of the lease amount serves as your condo down payment
Through the HomeReady program, you don’t have to pay both rent and down payment for your condo. Through this scheme, at least 60% of your lease payment will be credited as part of your down payment for the unit.
While the creditable amount will depend on the project location and unit size, it will still save you more money rather than renting a condo and then buying a different one.
- Home Ready follows the 10/90 payment term
Should you decide to officially purchase the condo after your lease contract, you can settle at least 10% of the unit’s total contract price. HomeReady follows the 10/90 payment term, where 10% of the down payment consists of the credible amount from your total lease payment. Remember that the remaining balance should be paid in cash.
- 90% Loanable Balance
If you want to rent-to-own a condo but don’t have the financial means to complete the payments on your own. You don’t have to worry about that. DMCI Homes have a wide array of accredited banking partners that can help you achieve g your dream home.
How many years do you have to pay for a condo?
Owning the condo would really depend on the location and what kind of unit you’re buying. But to give you an idea, in a rent-to-own scheme with DMCI Homes, it would take around three to five years for you to call that condo yours. It’s almost the same time frame as buying a condo directly.
What are the benefits of owning a condo?
Living in a condo has a lot of advantages, especially if you’re already working and you would want to live near your workspace. But apart from the cons of living in a condo, payment schemes for a rent-to-own condo are a lot better than renting alone or buying a home.
- Price Protect
An exclusive perk that DMCI Homes’ Home Ready offers its rent-to-own clients. Price Protect means that if you decide to purchase the condo unit you’re renting, you will be able to buy it at its lock-in price without having to worry about any increase. Meaning, if you buy the condo unit at Php 2.5 million, the price will stay that way until you finish the payment.
- Instant Move In
If it’s your first time moving into a new home or condo unit, then you won’t need to worry about home equipment and appliances. If you move into DMCI Homes, it's Home Ready properties are readily available, so it will be easy for you to enter a new lifestyle and step into an established community.
- Free Property Evaluation
After your leasing contract, if you decide you want to reevaluate your condo unit, you can do so thanks to Home Ready. You can compare the growth of your property value from the purchase price when you first availed of the rent-to-own program versus after the leasing period to ensure that you’re getting your money’s worth.
- Integrated Client Services
Moving into a new home would mean that you would have a lot of questions about your home, how to take care of it, how would it go if you want to make changes to your rent-to-own condo, and a lot more. DMCI Homes’ Home Ready offers hands-on services on leasing, customer care, and property management.
How do rent to own a condo?
Buying a condo directly and renting to own a condo is quite a different process. If you’re a first-timer, you may find this quite overwhelming. But you don’t have to overthink things, because thanks to DMCI Homes’ Home ready program, you can easily process your rent-to-own condo with these features:
1. Online Ready
With DMCI Homes, finding your dream condo is just a few clicks away. All Home Ready units can be found on one page of the DMCI Homes website, so you can easily find the perfect match for your needs and preferences. This convenient feature allows you to compare and shortlist options from the comfort of your own home.
2. Assistance Ready
The DMCI Homes team is dedicated to providing you with the best possible experience. From helping you select a unit to assisting you through the move-in process, our team will be with you throughout the initial process of renting the condo. The DMCI Homes team is here to make sure that your move-in experience is as smooth and stress-free as possible.
3. Flexi Ready
Home Ready offers flexible payment options and lease contract periods, allowing you to choose a scheme that works best for your budget. Whether you prefer to fulfill the leasing payment first, go for a financing loan, or pay the 10% downpayment first, Home Ready has got you covered.
4. Location Ready
All Home Ready units are situated in accessible locations and thriving cities across Metro Manila, ensuring that you have everything you need within reach. From grocery stores to entertainment options, your new neighborhood will provide you with all the essentials for a comfortable and convenient lifestyle.
Getting a rent-to-own condo unit is easy-peasy with DMCI Homes’ Home Ready program. But of course: don't forget to do your research! When choosing a property, unit, location, and payment scheme, consider factors like accessibility, proximity to essential services, and the overall safety and security of the area. This way, you'll get the best condo living experience possible.
Do you permanently own a condo in a rent-to-own scheme?
Throughout this article, you’ve always come across the word “rent”. You’re probably asking right now, “After all of this, do I get to own the condo?” The answer is a resounding YES. The rent-to-own scheme is pretty much the same as buying a condo. The difference is: you get to move into the condo even during renting time.
Is it practical to invest in a condo?
For individuals searching for a long-term, low-maintenance living arrangement, condos can be a useful and worthwhile investment. Building equity, having a home of one's own, and frequently being situated in desirable regions with easy access to facilities and transit are just a few advantages of condo ownership.
Rent-to-own condos offer the best of both worlds, allowing potential homebuyers to rent a condo unit before purchasing it. In choosing your new home, keep these factors in mind.
- Flexible Payment Scheme. One reason why you’re opting for a rent-to-own scheme in buying a condo is to have a more comfortable payment process. Some real estate companies do not offer that, so you have to research well and inquire about payment schemes before signing any leasing contract.
- Move-in ready. Some companies offer rent-to-own units as bare units, which may stress you out more. You may want to consider fully-furnished rent-to-own condo units, like those in DMCI Homes’ Home Ready program, instead.
- Comfortable living. Above all, of course, the condo you’ll be choosing must be comfortable to live in. This means it should be a place for you to unwind and relax after a long day at work, and at the same time, in close proximity to your work and other essential needs.
Ready to come home? Invest in a DMCI Homes condo unit today and welcome yourself into the life of stylish, comfortable living.