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Tiny House Rent To Own Program – How-To Buy Guide 2023

The Tiny House Rent To Own Program of 2023 is helping people buy their dream dwelling with no money down, read the full guide to see how you can do it too.

For people who believe that less is more, we are sure the craze about tiny houses will definitely appeal to you.

For a fact, living in a tiny house will mean paying less, using less energy, and ultimately spending less time indoors and minimizing the need to acquire new things that don’t absolutely have their place in your life.

But what does a rent-to-own tiny house mean?

Read on as we have all that covered in today’s post.

For starters, rent to own is an agreement, where you agree to rent a tiny house for a specific time, with an option to buy the property before the lease expires.

And if you’re new to all these, we are happy to inform you that today’s post breaks down all the vital parts of rent to own agreement along with everything you need to know if you decide that paying for a tiny house on wheels is an option you’re willing to pursue.

How Rent To Own works

When it comes to tiny house rent to own, there are two options you should know.

There is the Lease Option and the Lease Purchase option.

While these two main types of rent-to-own agreements are somewhat similar, they have some unique differences you should know too.

With a Lease Option, you’re not legally bound to buy the property after the lease expires.

On the flip side, a Lease Purchase agreement requires that you buy the property after the lease expires.

In some scenarios, when the lease agreement window elapses, there may be a certain agreed amount you’re required to pay to finalize the deal.

And in some other cases, the property becomes yours when the lease payments are fully completed.

Evaluating the cost of rent to own

Just like many things in life, the cost to rent to own depends largely on many factors.

But to make things simple, let’s give you a general idea.

On average, a fully completed tiny house should cost the owner anywhere from a used or fixer-upper from $10,000 or $60,000 for a new home.

With these figures in mind, you should typically see monthly rent between the low $100’s to $500 per month depending on 1 bedroom or 3 bedrooms or, if you want to go all-in luxury.

Of course, this depends on the lease agreement and cost of the house, so there is no fixed amount.

So if you decide that a rent to own works best for you, it will be good to prepare your mind upfront.

And part of preparing your mind is knowing that you’ll have to put a down payment to get started living your tiny house dream, and in most cases is between 2% to 5% of the loan.

In essence, you should have between $500 to $3000 as a down payment.

And before you freak out, let us also add that the amount can be negotiated and worked out.

That said, the more you can put down, the better your chances of getting a good deal.

Who is it for?

While tiny houses are becoming the rave of the moment, we want to show you who tiny houses are perfect for, and who knows, you may just find yourself in the mix.

Lovers of tiny homes

If you’re downsizing or just want to escape the keeping up with the jones lifestyle or, simply looking to just glam up your weekend cabin, you’ll definitely fancy the idea of having your very own space.

With a tiny home, you can give your dream the right space it needs to thrive.

Living tiny gives you the edge of being anywhere you would like whenever you like with little expense.

Generally, when moving to another state or location there’s the cost to move that can cost $3000 for a mover company to relocate your processions.

On the flip side, some tiny houses require a tow truck to that can cost $2500, however its a small price to pay when you consider all the costs that add up when moving the traditional way.

A “Me Shed”

Everyone likes to have their me time and with a tiny house, you’ll not only enjoy quality me-time but also have the opportunity to make your world whatever you dream of.

Think of it as an outlet for your passion.

Man Cave

We all love to have our man cave, especially in places that let us be who we truly are.

And with your very own tiny house, you have a safe space to enjoy a hassle-free man cave experience where you can set up a nice quiet place to get away from it all and crack open a beer on looking your property without the distraction of kids or family.

Bug out escape house

We love our preppers, and if you need a meeting point to store important items for those times of emergency then having a tiny house at a strategic location can be the answer to your needs for your bug out plan.

Tiny homes shells

If you think tiny houses are a great option especially when it comes to affordable housing, then you’ll be happy to learn that a tiny house shell is also a brilliant option if you’re looking to save more money.

For people who have no idea, a shell consists of all the exterior elements like roof, windows, siding, and doors built on a trailer.

We highly recommend this option for people who have limited building experience.

Opting for this option allows all the important parts to be put in place by a professional tiny house builder.

Additionally, this option will save you all the expense that comes with the interior work, which should be customized to your needs.

Also, keep in mind that a third of the labor is to build a tiny house on wheels that goes into building the shell.

That said, the bulk of time spent on the house goes into the finishing and adding additional fittings and modifications.

What we are trying to say here is that buying a tiny house that is already built comes with its own hassles, especially if you consider that the house isn’t designed with you in mind.

And if that’s the case, it will then mean that the house won’t meet your needs and you may be looking to move out, soon after you move in.

To make sure you get your dream tiny house, you want to be sure that the layout and designs meet your pristine taste and negotiate modifications.

Rent to own Builders that offer to finance

Are you planning on getting your own rent to own tiny home but you don’t know where to start?

Well, we have found some great tiny house builders that offer fantastic financing deals.

But before you get excited, let us tell you right from the get-go that we don’t make any claims about their craftsmanship or business practices.

So don’t take this as an endorsement.

And before you jump on any financing deal you come across, please do your due diligence and ensure you get a good contract before you proceed.

That said, here are some tiny have been commonly mentioned on the forums and other blogs.

  • Cornerstone Tiny Homes
  • Light Stream by SunTrust Bank
  • Wind River Tiny Homes
  • B&B Tiny Houses
  • Mustard Seed Tiny Houses
  • Tumbleweed Tiny Houses

As tiny houses become mainstream then you may expect better financing options for tiny houses from the major banks.

That said, it never hurt to ask your bank or mortgage broker on your eligibility for a small loan for a tiny house.

Finding homes for Sale

Another exciting option to find a tiny house is to opt for second-hand deals.

Trust us when we say this option will save you some extra bucks.

And because tiny homes aren’t so easy to sell, you may find a seller willing to offer a lease-to-own deal.

Going for this option is a win-win and that’s because you not only get a very affordable house, you also get one that comes with a rent-to-own lease.

Because of how challenging selling a tiny home is, many sellers would rather get what they can now than allowing the home to sit on the market for a long time.

But before you opt for any second-hand tiny home deal you come across, we urge you to do your homework before committing to a deal.

If you’re new to this, a good place to start is to get the home inspected, check to confirm that the home has a full title and that the ID of the seller matches the name on the title.

Also, make sure you ask for all documentation so you can review and check that everything is fine.

Sure, buying a second-hand tiny house isn’t for everyone, but guess what, you can still end up with a great deal, which is perfect for people who are on a budget.

Renting land for your tiny home

Getting a tiny home is great, but have you considered the place you’ll put it?

For many tiny home enthusiasts, this is something they really worry about.

But not to worry, we have some tips that should make finding land for your tiny home a hassle-free experience.

When it comes to finding a good place to park your tiny home, you want to consider what access you have to the property and that’s because you’ll most likely need a fairly decent space to get your tiny home on the property.

Also, you want to consider the basic utilities available or included in your rentals.

Is there additional space to park your car?

How will you get your mail, dispose of trash or host your guest?

Because there is so much that goes into finding the perfect land for your tiny home, you want to do your homework to ensure you aren’t missing anything.

Also, don’t jump on any deal you come across.

You want to make sure you understand the terms and conditions that come with the deal before you proceed.

Who covers Maintenance During The Lease?

When it comes to tiny house rent to own, one thing that always comes up is who is going to pay for maintenance during the lease, and today we want to set the record straight.

In most scenarios, the person renting usually covers for repairs and upgrades.

Even though different lease agreements may stipulate different things, the person renting the home gets to pay for maintenance.

More importantly, upgrades and repairs aren’t always factored into payments so if you end up walking away from the deal you may end up losing all the money you have put towards the house.

Frequently asked questions:

Is renting to own a good option?

For many people interested in affordable housing like tiny homes, rent to own is one option out of the many options they can explore.

And for many people who are low on a budget, there is pretty much no other way to get affordable housing besides rent to own.

For some who find themselves in this predicament, it is because of their bad credit.

And for others, they can only afford so much, so they will prefer to opt for a smaller monthly rent.

The caveat with this option is that you’ll end up paying more in the long run and that’s because it is believed to be a riskier loan to make.

What happens if you miss a payment for your lease?

Depending on the terms and agreement of the lease you signed, you could end up losing everything and that includes your down payment.

That said, keep in mind that different lease agreements come with their unique terms, so it’s important you know exactly what you’re signing up for so that you can keep up with your end of the bargain.

To ensure you don’t default on your lease payment, it will make sense to have at least 3 to 6 months’ expenses saved up.

This will come in handy in case you ever lose your job or something bad happens to you.

Can you rent to own with a bad credit score?

While you may be able to rent to own if you have bad credit, this isn’t always the case and that’s because rent-to-own agreements are treated as loan and credit scores.

This parameter is used to assess if you’ll be able to repay the loan.

If you have bad credit and looking to rent to own, you may end up paying more in a down payment.

Also, there is every likelihood that you’ll pay a higher interest rate if you opt for this.


With rent to own becoming increasingly popular, especially among people looking for affordable housing like tiny homes, you want to ensure you have an idea of what to expect.

Thankfully, today’s post has everything you’re looking for and more.

So feel free to read through all of the exciting tips in today’s post so you end up with a deal you’re proud of.