Owners Changed Deal On Rent-To-Own Home

[@bottledoo3639]

Put your wife on the phone ☎️

[@righand]

These kind of deals seem to always go down in West Texas. His first mistake was trusting someone from Odessa.

[@igorskiboss331]

🤣🤣🤣👌👌👌

[@brandonwill2977]

C Leh his first mistake was letting his wife make the decisions

[@vegancherry5503]

LOL 😆 × 10

[@clallen2000]

As I understand the owners are asking IF he could go ahead and get a mortgage on the property. They didn't say that he MUST get a mortgage now. I would hold them to the terms of the contract that was signed. The sellers cannot require you to buy a house in 1 year of you have a 3 year contract. Especially if the house is appraising at a lower value than the purchase price. I would tell the owners that you cannot get a mortgage at this time but that you will stick to the contract that was agreed upon by all parties. If the owners want to breach the contract then I would let them know that they owe you at least $15K back for breaching the contract. If the owners try to force you out you could take them to court to force them to adhere to the contract and that if they break the contract they owe $15K + Damages and this should be enough to get the owners to adhere to the contract.

[@DiscoFang]

Sticking to the contract would mean they're paying the original 150K. So the 15K has already disappeared in equity.

[@tammyschilling5362]

@@DiscoFang True, but that would have the case with a traditional mortgage anyway. Chances are good it will come back in the long run. That always the vagaries of the real estate market.

[@jwfriar]

@@DiscoFang doesn’t matter what the appraisal is - forcing him to buy before is contract states is the owner breaking it. To do they, they need to give them their $15K back

[@jwfriar]

Totally agree

[@urbanlumberjack]

Daves advice should have been go talk to a lawyer, not a mortgage company.

[@juniordunkley5298]

Yep true definitely a lawer

[@fedrick6262]

this caller sounds like he dont know what planet his on.

[@TheSuperbeauty24]

And you can't spell.

[@DraiAKA]

The caller sounds like he let his wife structure the deal with the landlord whom happens to be her friend. He sounds like he's just now getting involved because the deal is changing. Step #1 is to hire a lawyer to review the contract. Step #2 get a refund of your 15k back and move. Also, never rent to own. It only profits the owners. Its ridiculous.

[@walkermike3065]

You sir nailed it!

[@greenearthblueskies8556]

👍🏻👍🏻👍🏻

[@sweetfayce18]

The 15k is called the option fee. It is non refundable. The owners Cannot force you to finance before the agreed time (2-5 years). The house is paid for, this family can stay put.

[@roycemitchell2562]

We don't know that it was an option fee rather than a down payment. Not enough facts were elicited by Dave Ramsey to know what is going on. If the deal was a true "rent to own," those are only legal for 6 months in Texas, where he is, and after than the property must be transferred into the new owners name and given a mortgage by the owners. In this case, they don't want to give the mortgage now but that's too bad on their end, if in fact it was "rent to own." Sadly, Ramsey did not get enough facts to really help this guy.

[@vegancherry5503]

He let his wife do it all, now he knows nothing. If you're not in the loop, its always gonna be a sticky situation.

[@NewLifestyleMentor]

Go see a lawyer … NOW! The owners, depending on the terms of the contract, may have breached the agreement.

[@GigiGaskaite]

*Rent to Own is so risky ! I wouldn’t recommend to non of my clients ! Be very careful if you planning to do it , so many Sellers trying to take advange of your lack of knowledge and they hope one day you will never end up buying it and they will be able to keep that deposit to themselves*

[@reptilianskin]

I think his money is truly gone. The landlord paid cash. He wants to cash out. He knows his tenant is upside down financially and can’t get financing to fulfill his rent to own contract. Thereby forfeiting his down payment and allowing the seller to sell the home from under him on the market or perhaps to a third party that offered the seller a deal.

[@meatwad72]

Always close the a owner finance deals just like you would with the bank. Use a deed to transfer the title, write up a note to the seller for the balance/payments/terms, and record a deed of trust at the court house. That way you are in the same position as owning the house through a bank loan.

[@kataisa3]

This guy's in big trouble, I doubt he'll get his $15k back.

[@ocky88]

On what planet would the sellers be entitled to keep it if they change the agreement?

[@wendya989]

He can't get it back if they don't have it anymore.

[@brendonrookes1151]

@@wendya989 when they sell there house they would be forced to refund money to him he had a contract they broke it dosnt matter how they get the 15 k they owe him

[@BrandonRa]

Just tell the owner to give you back the 15k and then they can sell you the house for 135k instead of 120k but then you can put the 15k as a down payment so it looks good to the bank. So they get their money and you get your 15k and the loan you need for the house

[@checkfoldcallraise]

Am I the only one that gets annoyed with slow talkers? "They uhh...moved..uh they're moving uhhh..out of uhhh town.... they're moving out of, out of uh state."

[@dnyyce212]

yeah I'm definitely annoyed

[@walkermike3065]

@@dnyyce212 I think he's so embarrassed by what he is having to spit out that makes this really hard.

[@peskylogicchillinsky6007Futube]

checkfoldcallraise me too. annoyed

[@matthewclaiborne229]

This is a really bad deal Darryl. Hahahahahaha

[@jennyholt948]

Do you laugh at all people that lose $15,000? At least try to help the guy and if you can't, stop laughing!

[@matthewclaiborne229]

Jenny Holt I was laughing at a direct quote from Dave ya silly goose. Not Darryl

[@CrazySC833]

@@matthewclaiborne229 Lulz!

[@alexwyler4570]

i wish Dave had provided him with an advisor to hold his hand when he sorted that mess

[@treyatl2006]

If you have a contract then you can force the owners hand. If they are friends then they should atleast be willing to pay your 15k down payment. Get a lawyer and get a 15k lean on the title so that when they sale the property, the title company will have to pay your money out of the purchase of the home.

[@David53D]

I might consider living in the house until my $15,000 is used up in rent and have them sue to get me out.

[@ominous450]

I'd do this too. That's about a year of rent

[@photojournalist1194]

As you know, I am sure most of these Rents To Own agreements are many times can't hold water in court, because they were written one-sided with no protections to the buyer as the law in most states require, and the right thing to do is to send this poor man to talk to a lawyer rather than a mortgage company!

[@ocky88]

If there is a signed contract, I don't see how the owners can keep the $15k AND ask him to leave so they can sell to someone who gets financing. It was a bad idea to call in without an understanding of what is in the contract.

[@gHZoDD]

Darryl sounds like he buys lotto tickets.

[@roxannegordon6162]

He said: "I don't speak to them too much." what?? Why not? Don't you want your money back Darryl??? Who do you think is going to talk to them, the local squirrels???

[@TheSuperbeauty24]

Says the guy with Neanderthal DNA

[@dailyd8123]

@@TheSuperbeauty24 only a small percentage of people have Neanderthal DNA. Unless youve performed a DNA test you wouldn't know.. So Im not sure what you were trying to say.

[@blacksmith0316]

@@dailyd8123 It seems that she is taking perceived "racial slights" and responding with an insult.

[@dailyd8123]

@@blacksmith0316 oh trust me. I know...

[@tammyschilling5362]

I don't know why he doesn't mention the option of just continuing with the contract as-is. Unless the contract states that the holder of the loan can call the loan at anytime, the fact that they no longer want to carry the loan falls under the "life's tough" provision of changing one's mind.

[@AustinAirCo]

There's rules in regards to rent to own homes in Texas. Typically they are only slang in terms of 'rent to own'. They are more often than not 'Lease with purchase option'. You put the money down with the hope of one day usually a number of years of paying rent and building up additional equity in the home. The price of the home is typically estimated as to what it will be in the future. As in the contract that you have how many years you have to work out your credit issues so you can get your own financing. The law is quite complex, you need to hire a lawyer with contract in hand and have one that specializes in Texas real estate law look at it.

[@sunnysunshine6271]

OMG, I can't even listen to this story. Don''t Americans use lawyers for house purchases????

[@Nilonimir]

Sunny Sunshine we have agencies that do that and if there's any legal stuff the agent usually takes care of it. But yes. We can hire lawyers for a civil matter such as this.

[@harrisonwintergreen1147]

"I ain't gonna pay no $2000 to a lawyer just to review the paperwork! They're just vultures, I can file a deed at the county land office all by myself!"

[@metrorealty7631]

It is not required to have attorneys in the state of Arizona. We do, however, require contracts to purchase a home.

[@LukeReed627]

This guy is not bright - he’s literally put in $15k with no idea of what he’s signed up to !

[@juniordunkley5298]

Who did the conveyancing for this guy were lawyers involved ?

[@jimroscovius]

@@juniordunkley5298 I'm guessing not.

[@juniordunkley5298]

Not bright he's the wrong side of stupid

[@bluesky973]

These lease option deals are very common. You have a certain amount of time to get bank financing and there is a non-refundable option fee which gets applied to the purchase price at closing. Maybe the caller did not read or understand the contract he signed.

[@billwessels417]

i work as an underwriter at a bank that does loans like this all the time. we work with bank statement income and profit and loss income too.

[@morlandoemtp]

Weird Dave didn't ask him his income.

[@wmurray003]

...cause he was too confused by what was going on. He forgo that part.

[@DiscoFang]

If when they started paying the "rent" money the house was worth 150K and it's now worth 135K then they've already lost the 15K. And if the house was in their name they'd already have lost that 15K in equity. Walking away now is like selling the house with no agent or selling fees. How is this a bad situation??

[@nuleafonlyfe04]

OMG they got themselves into some foolishness

[@carojames6776]

READ THE CONTRACT.

[@DraiAKA]

Yes, Step #1.

[@rachelwilkinson7154]

He should ask for his money back, and give them the house then everybody will be happy.

[@timothyheyne]

the $15k can be used as earnest money deposit. Assuming it can be documented with cancelled check/bank statement, etc.

[@crazygirlfun1]

This guy doesn't sound like he know what's in the contract. Nor does it seem like he did the research before signing it.

[@willieboy3011]

This is not uncommon, especially with the younger folks. Having a budget built around salary with OT included instead of paying off debt. Then when OT stops, debt skyrockets. Some industries like oil field are notorious for boom or bust. Hopefully, he and his wife learn this lesson on budgeting while still young.

[@membear]

I would have told the caller if they want to change the terms of the rent to own tell them NOOOOOO, keep the terms as they are and try to get financing like Dave says but I bet the sellers are not going to admit that the $15K was towards the down payment and won't accept $120K now for the home. I would tell the caller, don't let them change the terms, if they want to sell, tough toenails they can't., and keep paying them your monthly rent to own amount. an d if you want to be nice, tell them to give you back $15K and find a different home to buy that is not a rent to own scam, get an USDA rural loan of FHA.

[@TheInroad]

Unless there is a balloon payment set up within the land contract he should be good. Also with FHA and most conventional loans he can use equity paid on the land contract and convert it to a down payment.... as long as he has recorded the land contract and payments with a memorandum to his court house.

[@bluesky973]

Sounds like a Lease Option Agreement

[@realestateinvestor2858]

This caller is a idiot. #1 You get everything in writing and get a contract. #2 You get the owner to sign over the ownership to you Subject To. Why would you put down $15K without having ownership in it. And that's not a friend. And call a lawyer if you have to or take them to court.

[@ecamormex]

Lesson of the day: Never go into business with people you know. Also, make sure you have a brain.

[@gazingnightsky2227]

😂

[@jimroscovius]

We sold our mobile home on a contract for deed. We had a contract drawn up by a lawyer and both parties agreed and signed. They took out a loan and paid it off when the contract came due. This guy didn't do anything right.

[@jillgott6567]

He has no idea what the contract says , it was someone his wife knows, the appraisal took place after the rent to own began this is not a great deal. deal. Dave mentioned Churchill instead of a lawyer as Churchill is one of his advertisers. Consider the $15,000 to be rent paid.

[@mattwesley4435]

This guy is so clueless, they saw him coming a mile away

[@jlozano180]

Yep

[@minervagalvez4748]

Doesn't make it right to take advantage of a person that doesn't understand.

[@whatevergoesforme5129]

@@minervagalvez4748 I agree. People can be so mean. Not all of us have high iQs or common sense. There are many people who are gullible but are good people.

[@djflash7503]

See this is why buying a house is not for everyone

[@mattjones2375]

This sounds a lot like him putting the 15k down on the house with Churchill Mortgage, then it going down in value.

[@whobutstretch]

Interested in a rent to own property but I feel as if the landlord just pulling numbers out the sky. Is it a way I can send you the contract agreement. ? I’m from New York.

[@miketheyunggod2534]

Is this Darryl of Darryl and Darryl fame?

[@juniordunkley5298]

American people are in too much debt medical bills and student loans? ,These are things that other countries don't have this a society based on debt and needs to change Dave can only offer so much advice this is a structural problem.

[@kennethgeyer9865]

Just say no, then wait and see if they can legally change anything under the contract.

[@AD66Liberty]

Dave, can the sellers finance the loan? Then they can sell the note to cash out

[@michaelmarquez6133]

Maybe they sell it and give him the money back or some at least, also he doesn't even know what in the co tract!!!

[@jimroscovius]

This guy's been smoking something. He has no clue!!

[@bahramx1]

thank you for shearing information. i have a question? new neighbor moved to next my property with 5 years payment plan with rent to owne deal that means they are not owne the property yet. and they start cut all big trees over 150ft tall and they traspass cut few of my big trees and solded. im wandering how is responsble for damage?rentals? or property owner? please halp thank you.

[@AdamGbl95]

I would verify what the contract says, get a lawyer to see if you can retrieve the 15k, and get away from this house! Asap. And don't let the lady control decisions. It needs to be a teak effort....but ultimately you're the man of the house.

[@beesmommyful]

I I were him and if there is a contract I'm sure he would be entitled to his 15,000 downpayment back because the home owners are voiding the contract because they want to sell the house house if I were him I would use this opportunity of the home owners wanting to sell the house and ask for my 15,000 back and rent or buy something else, since they are family friends I'm sure they would give the downpayment back if these guys explain to them they are not in a position to finance the house

[@eagle18hls]

You can be sure you are wrong. He is not entitled to his 15K back. The homeowners are simply asking him to get financing quicker which may or may not be written in the contract. It's a simple request. He can sit and not get financing for the length of the contract but he is not entitled to his down payment back. It sounds like the caller doesn't even understand his 2 or 3 year lease is up and it is time to finance and buy the home or loose his down payment.

[@ocky88]

@@eagle18hls you are making a ton of assumptions. It really all depends on what is in the contract. If they really are asking him and his wife to finance it as a favor to them because they need to move, then he has the upper hand. I see no way they can keep the money and change the contract and put him out and sell it again

[@alvinnguyen702]

They should get the 15k refunded and then pay off all the debt . And start at baby step 3.

[@bettysmith7045]

Hope they got a receipt for their 15K and all money they have paid so far, and that they were paying to own. Lawyer time! They need to either give you all your money back, or continue with the written deal. This whole thing is a mistake!!! Get a lawyer to get your money back and move because you cannot get financing!

[@UnblockedOne2]

Likely, they haven't been making good on their payments. & the owners want out of the deal. I've done business with "rent-to-own" people before. They typically are the worst when it comes time for them to pay. That's my experience at least.

[@sammorreale6105]

It sounds like this guy is not mortgageable. Rent to owns are a bad idea and most of them never close.

[@jbtpa895]

Check the contract already!

[@brandonwill2977]

First mistake was listening to his wife decision to deal with her friends and not have the house in his name

[@mattjones2375]

And if the house went up 20k in value, this video wouldn't exist. Lol

[@renttoownhomesguide9391]

The rent should be at or near fair rental value.

[@jwfriar]

Dave’s advice makes no sense - surely in a rent to own, you have payments until you’ve fully paid off what you owe. There’s no way they can just say - you must buy it now and if not, we keep your money. Where is Dave assuming that?? Agree with others - talk to a lawyer

[@TheDjcarter1966]

If the house is worth $135K someone should give him a $120k mortgage

[@msmissy143]

Wow...jus wow!

[@vbee7365]

I'd start praying quick

[@deborahsellers8534]

victoriakapshaw

[@Lowkey_ID]

Why can't he get his 15k back?

[@veroniquevesta7516]

Understand the contract

[@PInk77W1]

I know nothing about buying a home. I want to buy a rent to own. Does anybody on here have knowledge of the pros and cons of what I should look for? Thx so much

[@edermitt]

I know a little about rent-to-own. They sound good on paper but they rarely work out well and the renter almost never ends up owning the home. if you want to proceed anyway don't do what Daryl did and put money down upfront. And pay for an attorney to draw up an agreement detailing the rights and responsibilities of all of the parties involved. I also wouldn't get into a rent-to-own situation unless I had a reasonable expectation of being able to buy the home in a relatively short period of time.

[@21silvermoon]

Read the contract and pay for attorney to go over contract with you. 250-450 cost

[@pintobeangaming1620]

I would just go find him and MAKE him give it to you with no witnesses 🤷

[@mattwesley4435]

I'm guessing he didnt read the contract from front to back

[@brian93ist]

I dont know why banks even use credit it's not accurate

[@Wannietyme]

Yikes!

[@franniefargo9454]

Find a mortgage broker.

[@imout671]

the owners might be happy to just get principle back plus a little extra. they probably really want to sell you the house. Owner finance is not that big a deal, they can be far more flexible than a bank.

[@ltcolin19]

Yeah this was a horrible deal that’s not your friend they don’t care about you

[@annwilliams6438]

Give you the 15k back and move mate. And find out what IS happening!

[@marilyncruz1030]

Money lost bye!

[@TomekinaOfa]

Is it a good idea to rent to own

[@wmurray003]

No.

[@tiggarize]

Nope ever a good idea every time I hear about a rent to own thing it allwhys ends badly

[@21silvermoon]

For this guy yes its a bad deal. Rent to own can work but you have to READ the agreenent and get attorney to look over the contract. There are scams yes but not all.

[@milo74156]

Get your money back

[@rockintherae]

Darryl does not wear the pants.

[@derricksaunders5280]

Bad deal.

[@David53D]

This guy isn't very bright.

[@ishwarip8336]

Hahaha..rent to own gamble !!

[@J0hnny0]

Dirt thinks he's dumb.

[@ManeAttractionsinBowieMd]

Bruh man don't know nothing 😥😂😂😂

[@johnadams3418]

Did a lot of dumb stuff in the past? You did this dumb deal and you are asking Dave how to make another dumb deal. This is what you get for not reading the contract and keeping track of your finances. That has to change and your wife needs to take a back seat because she has driven you off a cliff with this deal.

[@MrsKervang]

I smell S-C-A-M!

[@faith5590]

Wow

[@moniquer7412]

i dont mean any harm but this dude sounds slow.

[@walkermike3065]

This is what he gets for letting his wife make major decisions in their home.

[@rayveonwashington4472]

Welp

[@gusmueller5836]

are there any smart people named Darryl? i'm guessing no

[@empresslonnie1love391]

😩😩😩