Legal Question in Real Estate Law in Illinois

My fiance and I have been leasing a home with a rent to own option since Nov 2008. We are unable to purchase the home due to our credit. The 200 escrow amount will add up to 3600 by May1st when our lease is up. We also put a 1350 security deposit down on the home too. We asked for an extension on our lease to work on our credit so we can get approved and the builder declined. They also stated that we will get none of the monies back. What can we do, do we have any options. After May 1st we are out of a home and the almost 5k we saved for one. Please help us and give us advice.


Asked on 2/12/10, 4:17 pm

1 Answer from Attorneys
Naheed Amdani Law Offices of Naheed A. Amdani, P.C.

What you can get back, and what you cannot get back, depends on the terms of your lease-to-own agreement. Unless your agreement states that you have an option to extend the lease, the landlord is usually within his rights asking you to leave. Most lease-to-own contracts state that the amount you're paying towards the down payment every month is considered part of your earnest money or down payment when you close. Whether or not any or all of the monthly installments you are paying are refundable varies, based on the terms of your lease. Your lease-to-own contract should also clarify what happens to your security deposit. I suggest a detailed review of your lease to make sure you are getting back whatever you can upon the termination of your lease. If you need any assistance, please do not hesitate to call me.

Read more
Answered on 2/18/10, 9:13 am


Related Questions & Answers

More Real Estate and Real Property questions and answers in Illinois