| Rent | Rent To Own |
| Rent money is lost forever. | A portion of your rent goes towards your down payment or the price - kind of like a savings account. This is called a rent credit. |
| Your landlord does not want to sell the home. | You don't so much have a landlord as you have a seller whose intent is to sell the home to you. |
| Purchase price is never discussed, since the home is not for sale. | The price you will be buying the home for is set at the beginning of the lease in the form of an option to purchase. |
| Landlord is responsible for all repairs. | You are responsible for the repairs since you are a home owner to be. This is the house you want to buy and therefore you are treated like a home owner. |
| Rent is set at market rates | Rent may be slightly higher than market rates since a portion of it is going toward the down payment or reducing the sales price. This allows you to build equity while you are getting ready to buy. |
| A security deposit, first month's rent and sometimes the last month's rent will be required to move in. The security deposit is refundable in case of no damage to the home. | A down payment, called "option consideration", will be required. This will lock your option to purchase on the property, and will go toward the purchase price as a down payment. This is not refundable if you choose not to buy by the end of your lease. First month's rent, and sometimes a security deposit will also be required. |