“Credit Report for a Rental Application, Turns into a Purchase”

From time to time I will do a credit report for a Realtor that rents homes as part of her real estate practice. She arranges, obtains a rental application and authorization for me to run the credit.

The Realtor indicated that the property that she was renting has been for sale and she hadn’t been able to find a buyer. She told me that these renters would love to buy the home, but didn’t have a down payment.

After I ran the credit report, the credit was good and couldn’t understand why these folks couldn’t buy doing a USDA mortgage, which required no money down and will allow the seller to pay the closing costs. The property was in a town that this type of financing was allowed.

I ran some numbers for the Realtor, who let me know that they had agreed to a rental fee of $1600 per month and the mortgage payment was $1497.

The Realtor wrote up a purchase agreement, the seller was paying the closing cost and these buyers were elated that they don’t have to rent and will soon be homeowners.

I love it when things work out.