By Ron Geddert
If you’re in the rent-to-own space, you work with realtors; maybe you even are a realtor. We need them.
But do they need us? Is there a mutual benefit? I interviewed three realtors working with CAROP members to gain a bit more understanding from their perspective.
I was a little surprised—pleasantly so–at what I learned.
Tim Moore, Kamloops, BC, has worked with three different rent to own operators, including current CAROP members Fraser Valley Rent 2 Own and Home Owners Now, Rhonda Landgren works extensively with JAAG Properties in Southern Ontario, and Blair Grignon works with Rent Live Own in the Sudbury area of Ontario.
It’s definitely a mutual benefit, says Moore. Real estate is a very uneven industry and the rent-to-own business provides some consistency. Grignon adds that it’s a mutual referral service for each others’ businesses, “I send clients who can’t get mortgage approval to Zach, and he sends his clients to me to help them find a property–and that could lead to a long-term relationship because eventually, they’ll upgrade.”
Landgren says about a quarter of the real estate deals she and her husband do come from JAAG Properties.
But here’s where my pleasant surprise came in: All three realtors were adamant about one thing: they do it because of the valuable service that the rent-to-own operators provide for their clients and the integrity with which we do it.
“I’ve always believed in the importance of homeownership, owning my first property at age 19, and you guys provide such a great opportunity for those who might not get it otherwise,” says Moore.
Landgren points to the stories of divorce, new immigrants, and other distresses that fuel our industry. And, the corollary: it’s because of the confidence they have those providers with whom they work operate professionally and ethically. “We love working with JAAG because they work very professionally and with such integrity, providing such a needed service.”
(I assured her that JAAG was just one great example of what she would find across the CAROP membership because that’s what distinguishes CAROP members.)
Are there challenges with rent-to-own deals? “Sure,” says Moore, “sometimes they’re a little more complex, but you and I are not ‘giver-uppers.’ Some realtors only want the easy deals, but I enjoy the challenge of making me be the best that I can be.”
Landgren mentions that “sometimes it’s a little harder to find properties because rent-to-own clients tend to be lower budget; the homes may be harder to find and may need a little love, for which the buyer may need a little educating.” But she’s fine with that—and then mentions again, the integrity factor of the rent-to-own provider who is looking after the client.
About the (sometimes) greater challenge, Grignon adds, “but the end result is the same—the smiles on their faces when they become homeowners. That’s what I’m in business for.”
As for those realtors who avoid working with the rent to own industry, “Fine, give them to me,” says Landgren, and adds, “They may have heard negative stories about rent to own and don’t want to get involved in (what they think might be) shady business. I think they just need a little education.”
Adds Grignon, “Realtors are short-changing their business just because it may mean a little more work.”
Asked if they had any final concluding comments, all three provided nearly identical answers: “I’m just grateful to be involved in this industry.”
Let’s keep the mutual love flowing, and keep the realtors confident in our professionalism and integrity.