Although many people have the objective of buying a house, due to the rise in purchase prices in recent years in Portugal, this has become increasingly difficult to achieve. Therefore, the most affordable option has been renting.
However, there is a third option which is a lease contract with an option to purchase. Do you know this modality? In this article, we will explain how it works.
Lease with option to purchase in Portugal
The objective of leasing with option to purchase, whether in Lisbon, Braga, in Porto or in Coimbra, is to rent a house, with the purpose of eventually purchasing the property. Both in the districts of mainland Portugal and in the Azores and Madeira Islands, this modality gives individuals the possibility of saving some money until they are able to invest in the purchase of the house, thus allowing them to have their own space through the rental option for a while. A rental period is stipulated, and if the tenant is not satisfied with the house, they are under no obligation to proceed with purchasing it.
Advantages of leasing with option to purchase
Some advantages of joining this mixed modality are:
Having your space while you are unable to buy a house;
Possibility of saving money until you can purchase the property;
There is no obligation to buy the house;
Opportunity to get to know the property and the area where you live during the rental contract, before proceeding to purchase the house.
For the owner there are also advantages to this option – it gives him a way to obtain continuous income until the sale of the property is completed.
Lease with option to purchase – draft
To develop a draft of a lease with option to purchase agreement, simply enter the information from the normal contract and add the specific conditions of the lease with option to purchase. Pay special attention to the term and purchase conditions, not forgetting the total amount to be deducted from the rent at the time of purchase.
Are there risks in a lease with an option to purchase?
As in any circumstance, there are always risks. Among the disadvantages of this type of contract, the following stand out:
The emergence of debts for the owner, which may make it impossible to sell the house;
For the individual who rented the house, if he chooses not to buy it in the end, he ends up losing some of the money he invested.
In conclusion, each person should choose the modality that makes the most sense for them, depending on their lifestyle and economic possibilities. A lease contract with an option to sell is a normal lease contract, in which points are added about the possibility of selling the property if the tenant so wishes.
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Source: Imovirtual
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