Find a home listed for sale that's right for you. HP will buy it and lease it to you with the peace of mind of locked-in rent amounts and purchase prices. Live in the home as a renter with the option to buy it at any point. At the end of your 1-year lease term, you can renew for another year or walk away with no penalties. No matter what you decide.
This program empowers you to plan for your future with the security of 5 years (3 years in Texas) of locked-in rents and purchase prices.
With our Program, there are no hidden fees, non-refundable deposits, or unexpected price increases. If you choose not to exercise the Right to Purchase, there are no penalties. Buy, rent, or walk away, you decide.
Total Cost
Total Cost is the price HP pays for the home, closing costs, make ready and repairs/maintenance costs. Total Cost is used to determine the resident's Right to Purchase prices. A sample is highlighted below:
| Purchase Price | $200,000 |
|---|---|
| Closing Costs * | $3,000 |
| Make Ready and Repairs/Maintenance Costs | $7,000 |
| Total Cost | $210,000 |
* Includes costs such as transfer taxes, attorneys' fees, title insurance, other acquisition costs, etc.
Monthly Rent Increases
Each year, a resident's Monthly Rent increases by no more than 3.75% over the previous year’s Monthly Rent.
For example, if the Monthly Rent for Year 1 is $1,400 per month, the increase for the next year is $50/month (i.e., $1,400 x 1.0375)*.
Monthly Rent
| Year 1 | $1,400 |
|---|---|
| Year 2 | $1,450 |
| Year 3 | $1,500 |
| Year 4 | $1,560 (Does not apply in Texas) |
| Year 5 | $1,620 (Does not apply in Texas) |
Right to Purchase Price Increases
Each year, the Right to Purchase Price increases by 3.0%-5.5% (depending on the region).
In the example, if the Total Cost of the home is $210,000 and if the Right to Purchase increases by 5.5% (i.e., Prior Year Purchase Right Price x 1.05)* then the Purchase Right Price for Years 1-5 is as follows:
| Year 1 | $220,500 |
|---|---|
| Year 2 | $231,500 |
| Year 3 | $243,100 |
| Year 4 | $255,300 (Does not apply in Texas) |
| Year 5 | $268,000 (Does not apply in Texas) |
There are additional costs that the resident will incur if they exercise the Right to Purchase such as closing costs to purchase the home, including transfer taxes, attorneys' fees, title insurance, and the cost of a mortgage loan. As a result, actual total costs to exercise the Right to Purchase will vary.
* Rent will round to the nearest $10. Right to Purchase Price will round to the nearest $100.