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Tags: trading
Categories: Economics & Finance
Basically, a lease purchase agreement is a lease contract combined with an option agreement which gives the tenant the right to later purchase the property. The rent payments made during the term of the lease typically are applied to the down payment and used to purchase the home or real estate. It’s a method of seller financing, often used when the buyer is unable to get credit to obtain a mortgage loan from a commercial lender on his/her own.
(source: uslegalforms.com)
Synonyms:
hire-purchase
