When investing in a professional or personal property, there are different solutions to finance the purchase. The mortgage is the most classic solution and requires a personal contribution. For the most modest budgets, there is the solution of real estate leasing that allows you to acquire a good little by little without having to invest from the start. For professionals and individuals, it has many significant benefits.
Real estate leasing
Real estate leasing for professionals
We are talking about real estate leasing or leasing for professionals when a company acquires real estate and leases it for a professional use all in allowing the tenant to become the owner at the end of the lease. The contract is usually long-term and varies between 10 and 20 years. Leasing for capital goods and machinery or equipment is called financial leasing. Real estate leasing only concerns real estate. Real estate leasing concerns industrial, commercial, craft or agricultural companies. It also concerns the liberal professions, associations, public enterprises, administrations and local authorities. Leasing has the advantage of offering you home ownership without the need for start-up capital.
Real estate leasing for individuals
Real estate leasing for individuals is also called rent sale. He offers a lease agreement with a promise to sell unilateral and allows the acquisition of movable and immovable property (only for personal use) by the tenant. He is very appreciated by low-income households because it allows to buy a home without having a personal contribution. The tenant has the choice between two scenarios. Either he pays a slightly higher rent that includes a portion of the purchase price of the unit or he pays a normal rent and buys the unit at the end of the lease. The sale price will be established when signing the lease.
Be careful not to confuse the hire-purchase with lease with option to purchase (LOA) who is reserved for the automotive world. For hire-purchase, the term of the contract is similar to the repayment term for a conventional credit. The tenant becomes the owner only when the lease expires.