What am I missing? All this talk about rent to own POHs: Can someone tell me why one would use the RTO concept to sell POHs vs. just selling them to them the tenants on a chattel mortgage? Right about now when the tax refunds come in, one can get a $2000+ downpayment. Someone with that much into their home is more likely to take care of it. And being the "owner’ is always more powerful to someone than being a renter, even with rent credits. Many states require the landlord to maintain the property…just saying they’re a tenant-buyer doesn’t mean the TB have to pay for repairs and maintenance. But they do if they are actually buying it on a contract or chattel mortgage.
And don’t tell me Dodd-Frank/SAFE Act is easier: Rent-to-own arrangements are clearly covered by the SAFE Act. You still need to be making sure your Tenant-Buyer (or Buyer) is qualified. (I run them by a mortgage broker, who charges $30-50 to generate a letter stating the buyer is not spending more than 1/3 of their income on housing [payment, insurance, taxes]. I only send them there after I’ve qualified them as tenants of the park via www.aaascreening.com, who I have found does the most detailed job of verifying employment and tenant history.)