Texas Residential Sale Leaseback
Do you want or need to access the equity in your home?
Do you want to take out more equity than is allowed by Texas Cash-out laws?
Have you been told you can’t qualify for a Texas cash-out loan or Home Equity loan to get the cash you need?
If you have any of these issues, but you want to continue living in your current home, a Texas Residential Sale Leaseback may be an option for you.
What is a Texas Residential Sale Leaseback?
Let’s start with a simple definition: In a residential sale leaseback (also called a “residential sale and leaseback”), a homeowner sells their home to a buyer, and the buyer then leases it back to the original owner. The homeowner can access their home equity as cash and can remain in their home as a renter.
How Does The Texas Residential Sale-Leaseback Program Work?
- We assess your home (mainly in major markets in Texas).
- If eligible, Hurst Real Estate will purchase your home.*
- You get your Home Equity back as cash.
- You can access more of your Home Equity – unlike a Texas cash out loan where you are required to leave 20% equity in your home
- You stay in your home as a renter.
- You can even re-purchase your home or move when your lease ends**
*Hurst Real Estate or one of our Investors will make you an offer.
**Only applies if documented when the house is purchased and lease is signed, or when agreed by landlord.
Why Get a Texas Residential Sale Lease Back?
A residential sale-leaseback may make sense anytime a homeowner wants or needs access to home equity. Some common examples of when and why a homeowner might use a Texas Residential Sale Leaseback are:
Access Your Home Equity Even If You Don’t Qualify for a Cash-out Loan
There are many reasons why good, responsible people may not qualify for a standard Texas cash out loan or a home equity loan. For example, if you recently started a business and are now self-employed, you recently changed careers, or one spouse lost their job. If you find yourself in this situation, a residential sale leaseback may allow you to access the equity you need and stay in your home. In some cases, you may even be able to buy the home back later!*
Access More of Your Built Up Home Equity
You’ve been paying your mortgage on time for years and have built up quite a bit of equity. Now, you need to access that money. Unfortunately, Texas cash out law requires you to keep at least 20% equity in your home. If you need access to more cash than Texas cash out refinancing laws will allow, a residential sale leaseback may be a good option.
Texas Cash-out laws require you to keep at least 20% equity in your home… but you can take out more of your equity with a Texas Residential Sale Leaseback transaction.
Purchase or Build a New Home – Get Cash AND Avoid Inconvenience
You want to access the equity in your home now to purchase or build a new home. You also want to move out of your old home as soon as your new house is ready. A residential sale-leaseback may provide the cash you need while eliminating the need to move twice, deal with contingency contracts, or other hassles of buying and selling a home concurrently.
Lock in Gains on Your House while Prices are High
Sell your home when housing prices are high and lock in your gains (all while continuing to live in your home for a pre-defined term of your lease).
Buy Time to Work through Personal Financial Challenges
We all hit a rough patch now and then. A residential sale-lease back may offer you the cash you need to get your finances straightened out AND avoid a foreclosure. Best of all, your family doesn’t have to relocate.
Anticipating a Transfer or Job Change
If you are awaiting a job transfer, new job, or overseas assignment, you can sell your house at your convenience and continue to live there until the assignment comes through, eliminating the stress of selling your home in the midst of the change.
Want More Information on our Texas Residential Sale Lease Back Program?
Please click below to start the conversation. Hurst Real Estate will evaluate your home’s eligibility for our residential sale-leaseback program. If we are not able to make an offer on your home, we will share your information with our network of real estate investors who may be interested in purchasing your property and leasing it back to you.
To get an offer for your home, please click the button below or call us at 512-627-5263.
“What is the Definition of a Texas Residential Sale Lease Back Transaction? ”
A “residential sale leaseback” or “residential sale and leaseback” is a transaction in which a Texas home owner sells their home and then leases it back from the buyer. Texans can turn to a residential sale leaseback to provide quick access to their home equity when they don’t qualify for a Texas cash-out loan or when Texas cash-out refinancing laws restrict or limit how much equity the home owner can access. For example, a homeowner may want to take out equity from their home, but they don’t qualify for a Texas cash-out loan and they still want to continue living in the home. A home owner may want or need to do this because they because they started a business (and are now self-employed), they recently changed careers, one spouse lost a job, or if they need to access more home equity than Texas cash-out laws allow. A residential sale leaseback transaction can even be structured to allow a home owner to purchase the home back in the future when their lease ends. This can be a win-win, meeting the home owner’s financial needs and creating a good investment option for the buyer.