Rent-to-own is a type of financing arrangement in which a person rents a property (usually a home) and makes payments toward the eventual purchase of that property. The rent payments usually include an additional amount that goes toward the down payment on the purchased property. In Pennsylvania, there are laws governing these types of transactions, and it's important to be familiar with them before entering into a rent-to-own agreement.
Under Pennsylvania law, a rent-to-own agreement must be in writing and signed by both parties. It must also specify the purchase price of the property, the terms of the rental agreement, and how much of each rental payment will go toward the eventual purchase price. The agreement must also give the tenant an option to purchase the property within a specified time period, typically two to five years.
If you're considering entering into a rent-to-own agreement in Pennsylvania, it's important to consult with an experienced real estate attorney to ensure that your rights are protected.