What does it mean if i rent-to-own a home for a low price due to foreclosure??what happens to the mortgage??

Question

what i mean is...ive been browsing Craigslist.com and ive found homes for sale...actually rent to own...at a LOW LOW price...like 875-950 a month...the total mortgage is like 175,000....now if i try and rent that home will i end up paying more??...WHATS the catch??...can i take over the mortgage AND still pay only 875-950 a month???...or is there some hidden extras I'm missing??...please explain!!!!!

Answer 1

Well one thing that has been happening is this. Someone puts an ad in Craig's list or elsewhere advertising a place for rent cheap.  They want a deposit plus... Then in a month or so you find out that they didn't even own the property and the sheriff is there to put you out on the street that moment.  So if I were you, I'd do a lot more homework before handing over my hard earned cash.  Also, even if they do own it, it they haven't paid the mortgage and it's in default, depending on what the time frame is, you could be facing the same thing. Here  you've paid rent and now you are just out.  If I were you, I'd run away from such things.  

Answer 2

Disagree with Janet.  VA loans are assumable loans.  

You need to talk to your local legal aid clinic (usually free) about your situation, especially if you are going to rent-to-own ("land contract").  Many states have specific laws that must be followed to make these types of contracts valid.  

http://www.foreclosure-fight.com

Answer 3

If the mortgage is not paid the property would be foreclosed and you will be evicted.  

You can not take over someone elses mortgage, it is not legal.