The same goes for people who plan on leaving a job soon. The monthly payment isn't the only obstacle for this kind of customer. Closing costs and other home-buying fees, as well as the commission that most owners end up paying to real estate agents when they sell their homes, add up. People who have to sell after living in one place for only a short amount of time can end up in the hole on their investments. Some middle-ground approaches to homeownership blend elements of buying and renting.
Buyer makes payments on the first loan to the bank and the second loan to the seller.
That second mortgage from the seller usually comes with a higher rate, a shorter term and a potential balloon payment. Or, the seller can hold the entire mortgage and the buyer makes payments directly to the seller. Reduces the cash needed to get into a home and could reduce closing costs. There are two monthly mortgages payments and the seller determines the interest rate for the second loan. Seller owns home during the lease period.