What is a lease? Help with buying/renting home?

Question

Please explain what this add means: 2 bdrm, full basement, 30X32, well and field bed, lg garage, gazebo and wood shed, elect heat, oil furnace and wood stove, leased land, total cost of lease 600/yr 85,000

Okay so what I'm asking is what does the leased thing mean and is it a good deal? Like, what are the catches to leased land and whatever? I'm not too learned about this stuff. Just trying to help my mum.

Answer 1

A lease is renting the apartment.  You will have to rent it over a period of time (e.g., a 2-year commitment rather than going "month-to-month")

Answer 2

The land is rented, not owned. I'm not sure if it's a good deal.

Answer 3

The leased land means that, while you own the building on the land, you do not own the land itself. You'll pay land rent for the duration of your ownership.



Since I don't know the real estate market where you are, I can't determine whether a land lease is typical for the area. Personally, I wouldn't buy it under those conditions. I'd rather own both the dwelling and the land.

Answer 4

first of all, a lease is a contract - usually you get these when renting a place - its a contract which is supposed to protect both the owner & the renter - so before ever signing one of these, read carefully.  Usually a lease will include the owners rules & regulations, monthly rent, & the like .   You'll have to research your own home state & city to find out more information, but often the negative thing about a lease is if you want to move and still have some time on your lease, the owner might force you to pay the rent for the rest of the time on that lease.  

I'm not sure if 85000 is a good deal or not - it all depends on where you live - if you live in NYC - that is a great deal - outside NYC i cannot tell you.  However, if your mother would be paying her own heating, I'd recommend she looks for someplace with gas heating - oil is super expensive no matter where you live, and its going to get even more expensive by this fall and if by chance the oil furnace breaks down, its twice as expensive to repair or replace then a gas furnace is.

Answer 5

Run away from this deal. Sounds like a mobile home park. You would only be buying the structure and paying rent on the land.   Also something wrong with the  Electric Heat and Oil Furnace??   Keep looking, when you buy you want to own both House and the Property it sits on.