In the news: "Unique Rental, Lease-to-Own Program Getting Families into New Beaumont Homes" -Banning Beaumont Patch
Posted on June 5, 2012
Unique Rental, Lease-to-Own Program Getting Families into New Beaumont Homes
"The New House 123" is a new housing development in Beaumont that allows families to move into brand new homes without having to buy them.
We all know that you can buy new homes. But, have you ever heard of renting a brand new home? What about leasing-to-own?
Well, that’s becoming a reality as a unique housing development makes its way into Beaumont, allowing families to get into new homes they might not otherwise be able to afford.
It’s part of Newport Beach-based RSI Development’s planned community called The New House, being built south of 1st Street, just east of Beaumont Ave.
The “new” thing is that you can get into these houses in one of three ways:
“I never really thought of renting a house before,” said renter Andrew Jerome, who is moving into his new home this week, along with his wife and kids.
Jerome is renting a $200,000, 1,968 square-foot house for $1795 per month.
“It’s very exciting, that’s for sure,” he told Banning-Beaumont Patch. “I like everything about it… The coolest part is it’s brand new. Everything is brand new. And it’s a house, not an apartment.”
To date, a total of 13 homes have been built in the Beaumont New House community, and about a third of them are being rented, according to Eric VanDerHeyden, executive vice-president of RSI Development. The other two-thirds of those homes are split between buyers, and families that have chosen to lease-to-own their property.
Another 51 houses are in the pipeline, to be built at a rate of about eight per month moving forward.
VanDerHeyden says his company decided to try something new here in Beaumont by allowing the lease-to-own and rental options, simply as a response to the local housing market and credit crisis many Americans are facing.
“It became clear to us that the number of people choosing to rent was coming in on the number who wanted to buy,” he said. “It’s better to have a renter in the home next to you as opposed to having an empty lot.”
The cost of the houses ranges from $149,000 to $214,000, with rent ranging from $1450 to $1895 per month. Those who would like to lease to own tack on another $250 to $350 more per month, which is applied towards a down payment.
“The impetus to offer this program in this manner was a desire to make the community fill up faster,” VanDerHeyden said. “We definitely are filling up the homes faster than if we just sold the homes.”
VanDerHeyden says the company is able to keep the costs competitive to other rentals out there because of the way these houses are constructed. They are called “panelized” homes, meaning all the walls are built in a factory, complete with wiring and other needs—taking only six weeks to build, and requiring less-manpower than traditionally-build homes.
Though the first phase of 13 homes already has committed tenants, there remain opportunities for interested buyers, lessees, and renters. To learn more about the community, check out the website here.
There are opportunities available in both Beaumont and San Jacinto.