Legal Question in Landlord & Tenant Law in Michigan

Rent to Own Home Laws

We are purchasing a mobile home on a rent to own basis. Our understanding was that if for some reason we did not wish to fulfill the contract we could move, but lose all equity in the home. Is this correct, or are we bound to abide by the agreement until the home is fully paid for? We do not own a mortgage on the property and we do not have the deed or title to the property. We are renting month to month at this time. We have been at the property for 2 years.


Asked on 1/03/04, 5:29 pm

1 Answer from Attorneys
Janet Ziulkowski Ziulkowski & Associates, P.L.C.

Re: Rent to Own Home Laws

Be careful, if the seller is financing the mobile home, his/her finance company may not allow rent to own agreements. If it finds out, it could accellerate the sellers mortgage and you could wind up without a home. In addition, the mobile home park may not permit rent to own agreements.

If your credit is ok or even marginable, you may be able to buy a home in a subdivision or some property under similar financial terms.

If you do enter into an agreement with the seller, make sure you get your agreement in writing, check with the finance company and the mobile home park to see if they allow such agreements.

Good luck

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Answered on 1/03/04, 6:12 pm


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