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ANSWERS TO FREQUENTLY ASKED QUESTIONS Q: What exactly is a rent-to-own (lease to own) home? Q: How do I qualify for your Homeownership program if I am interested in one of the homes that you are currently marketing on your website? Q: What if I want to get help with my credit and financial profile but don't see a home that I am interested in or what if I still have over 3 months left in my current lease? A: You do not have to be in one of our homes to participate in our Homeownership or Home Preparation Program. Our goal is to create a pipeline of buyers that are ready to purchase quality homes for us. For a small fee, we can immediately work on restoring your credit and financial profile. For more information, please CLICK HERE to view a brief video from our owner to see how we will help you and your family accomplish your goal of responsible homeownership! If you need to save money for the purpose of owning a home, then we would suggest you apply for MPI's Homeownership Program. This program will begin the steps to your credit restoration, financial and debt counseling and personal coaching! Click Here for more information about our Homeownership Program. Q: How is MPI different from other companies or individuals that provide rent-to-own or lease-to-own properties? A: MPI understands how important your credit profile is when qualifying for a quality mortgage. Unfortunately, many individuals who have damaged credit are getting high interest adjustable rate mortgages that increase the monthly payments over time. In fact, more foreclosures today are being caused by such high interest mortgages. Our homeownership program is geared towards improving your credit profile and providing every client with financial counseling so that you can think money smart and get a quality mortgage within 3 to 12 months depending on your current credit profile. Our goal is not just to sell you a home but help you get to the next financial level that you are looking towards!!! Q: How do you qualify me as a potential Tenant-Buyer or MPI Homeownership client? A: The main qualification criteria that we use to determine whether we will approve you as a MPI Homeownership Client are your ability to pay a future mortgage (based on income) and your willingness to repay a future mortgage (based on our brief interview with you and your application). Everyone wants to own a home, but the sad truth is that the majority of individuals currently renting are not ready to accept the responsibilities of homeownership. As a potential homeowner, we understand that you have damaged credit, but we will want to know what you are doing now and willing to do to change your current situation. Q: I have reviewed your current property listings and none of the homes meet my specifications or areas where I am looking for a home? A: While we look to purchase and acquire 3 to 5 homes per month, we cannot guarantee that one of the homes we acquire will meet all of our applicant's exact criteria. However, if you had a chance to review our Homeownership Program and feel that you would be able to follow our process to improve your credit and financial profile, then we encourage you to allow MPI to perform a customized home search on your behalf. In order for us to attempt to perform a customized home search, we will require you to enroll in our Homeownership Program. Click Here to find out more about our Homeownership Program. Be realistic in your expectations because we will need to qualify you based on your income and the price of the home. Q: How will I be able to qualify for a mortgage? A: There are many factors that will determine your ability to get a mortgage loan. Our Tenant-Buyer/Homeownership program comes with free credit restoration. Our credit restoration program allows us to address your credit profile and helps us to improve your probability of obtaining a mortgage loan with an acceptable interest rate. However, the way you use your credit once you join our Tenant-Buyer program is extremely important. Moreover, your payment history with us will also be a major qualifying factor as well. Our credit restoration program, your payment history with us, and how you use your credit once you join our program will all factor into your ability to qualify for a mortgage within 3 to 12 months. We have the tools for you and it is your responsibility to use them. We urge you to click here to understand the full process of qualifying for a mortgage. This article was written by Jack Guttentag. Q: Do I have to pay any money to become a Tenant-Buyer? A: All Tenant-Buyers are required to pay a minimum down payment of 3.5% on the home they ultimately select. This is a down payment that is credited to you once you qualify for a quality mortgage! This down payment is the difference between the sales price and loan amount. By making timely payments, we will contribute extra money towards your initial down payment. The higher your down payment, the more money we will contribute towards your initial down payment. This full 3.5% down payment is not due until you select the home that you want! If none of the homes that we currently have available fit your specifications, don't worry, you can still prepare yourself for home by applying for MPI's Homeownership Program or by allowing us to do a customized home search on your behalf! Click Here to APPLY for our Homeownership Program TODAY! Q: What do you mean by rental credit? A: During the first 3 to 13 months, you are actually renting from us while we conduct your credit restoration and help prepare you for a mortgage. However, what makes “renting” from us different from any other rental situation is the fact that you will be living in a home that is yours and that a portion of the rent will be contributed towards your initial down payment. For example: If you are paying $1,100 each month towards a home and $200 of your payment is considered your rental credit if you pay in a timely manner, then $2,400 will be contributed to your initial down payment (provided that you have paid your payments in a timely manner). There are some homes that we provide where we will pay all closing costs for the mortgage you qualify for the home. BY MAKING TIMELY PAYMENTS, YOU ARE BUILDING EQUITY WITH EVERY PAYMENT! Q: If I see a home that I love in one of the real estate books or I see a home listed by a realtor, can I get one of those homes? A: We look to make between $4K and $10K for every home that we acquire for our Homeownership Program. Realtors are extremely important to individuals selling their homes. Realtors help market homes to qualified buyers. However, when a homeowner sells their home to a buyer, they are required to pay a commission of 5% to 6% depending on the terms of the listing agent. In order to protect our Tenant-Buyers/Homeownership participants, we will never sell a home for more than its market value. As a result, it is difficult for us to make our desired profit for each home while paying for a home that is listed with a realtor. For example, let’s assume that a homeowner is selling their home through a realtor for $100,000. Let’s also assume that the appraisal value of the home is also $100,000. The homeowner will net out $94,000 after paying a commission of $6,000 (6% of sales price) if they get a full price offer. It is highly unlikely that the homeowner will sell that home to us for $90,000 since they will only net out $84,600 in that particular instance. However, that is not to say that this cannot happen, but it is unlikely. Q: What if I see a home that is FSBO? A: It is much easier for us to work with homes that are FSBO since we would be buying and negotiating directly through them. Once you are approved to be a Tenant-Buyer we will gladly work with you to make offers for these homes. Q: If I don’t have a 3.5% down payment right now to put towards a home, will I still be able to participate in your program? A: While we do require a 3.5% down payment for every home that we place a Tenant-Buyer in, at times we are willing to work with individuals or families that may not have saved this amount at the time of approval into our program. We are willing to work with any individual or family that is truly ready to accept the responsibilities of homeownership. If you are truly ready to accept the responsibilities of homeownership, submit your application today. After you submit your application, you will hear back from one of our qualified staff members! Homeownership is one of the key building blocks in any sound financial plan. Don't wait another week, month or year without taking charge of your future! We are more than willing to help you achieve your goal! Also, as we have stated before, if you don't have the required down payment for one of our homes, don't worry! Just apply for MPI's Homeownership Program and take the steps today to position yourself for responsible homeownership. Don't waste another day thinking that things will just take care of themselves. Take charge today and make it happen TODAY! |