Details of Lease to Own
I'm looking at a place in North Carolina that is priced for a cash flow of about $200/mo. The place is clean and in good shape but very dated. Rather than invest $$$$ to rehab, I'm considering a rent to own lease for tenants, but I don't know the details. In this area, average rent is $1,800, so I thought I could charge $2,000 for a Rent To Own lease. That said, I'm wondering how much of the monthly rent goes toward the tenants' monthly deposit toward the house? Also, what is a normal deposit for someone to enter a RTO lease? I appreciate any help, and if there is a thread or forum already on this topic you may simply direct me there. Thanks in advance to all that reply!