I’m buying a park that has very low income tenants in a slower market. I would like to offer them a new rent-credit program that allows them to choose their rent/credit depending on how much they can afford. So, for example, someone in a modern home worth $15,000 can rent it for $150, $200, or $250 and their rent credit will be 75%, 85%, and 95% respectively. After 63 months, someone who rents for $250 can buy the home. If they rent for $150 per month, it will take them 133.33 months to earn the credit to buy the home. An older home worth $7000 may rent for $100, $140, or $180 with the same percentages as above for rent credit.
Is this legal?
I’m working in a slower market and I want everyone paying at least $100 for rent but don’t want to force a low payment in case they want to buy the home sooner.
Another way is to create a base rent of $150 for the newer home (and $100 for older home) and anything they contribute above and beyond that will go 100% into the rent credit…would they even do this? I think they might since many of these tenants are very bad at saving for a down payment.