Please read all terms & conditions in full. By signing this document you agree you have read and understood everything completely and are agreeing to all the terms.
You may consult a lawyer if you do not understand any of the terms and conditions stated herein, or have any additional questions.
Re: Rent-to-Own
I. Scope
In accordance with our agreement, Homesy Inc. and its subsidiaries have agreed to simply refer you to a company/investor (hereinafter referred to as the “lender”) regarding your Rent-To-Own needs.
The Client acknowledges the terms of this Agreement and agrees to comply by clicking the ‘I agree to the terms and conditions’ box on the application.
II. Disclaimer
Client(s) is neither seeking services of a licensed mortgage agent nor are Homesy and its subsidiaries providing any services in the capacity of a licensed mortgage agent for the scope of the subject agreement. Homesy does not guarantee the successful completion of Rent-to-Own agreement with the lender upon maturity.
III. Terms
This agreement cannot be cancelled by either party once it is fully executed by both parties and the lender has agreed to help the subject client in the rent-to-own transaction (once a property is found).
We do not guarantee success or that we will be able to get you a lender.
If the lender can’t help you in the rent-to-own transaction, Homesy Inc. will refund you the fee amount, being the referral fee less $999.00 (nine hundred and ninety nine dollars) administration/application fee for our engagement.
Once the lender has agreed to help the subject client(s) and an offer is placed on a property, the commission is deemed earned “IN FULL” and is non-refundable.
IV. Compensation
Client shall pay our commission (in addition to any compensation that we may receive from the lender if any) for referring them to a rent-to-own lender in the amount of 1% of the property purchase price with a minimum amount of $5,000, whichever is greater. This compensation will constitute as the closing cost for the tenant buyer.
Once the lender has agreed to help the subject client(s) and an offer is placed on a property, the commission is deemed earned “IN FULL” and is non-refundable.
V. Payment
Before we refer you to a lender, we require our commission “IN FULL”, in the form of a bank draft payable to “Homesy Inc.”, or via Interac e-transfer.
VI. Acknowledgments
Each party represents that they and their counsel have had an adequate opportunity to review and revise each and every component of this Agreement before executing the same and that any rule of interpretation to the effect that ambiguities are to be resolved against the drafting party shall not apply to this Agreement.ons in connection with the administration and management of the products and services that you have requested, as well as convey your credit file to credit reporting and assessment agencies, insurers or other lenders, as applicable.
VII. Material Risks
a. Breaking the rent-to-own agreement: If the client decides to break the rent-to-own agreement, or find the property is not suitable, the client may lose their deposit, and depending upon how the contract is written, may lose all the money that was put aside for the deposit and/or down payment.
b. Lack of Security: Client’s agreement may be null and void if the client is late on rent at any time – meaning not only the client may get evicted but may also lose their initial down payment and any money that was put aside for the deposit/down payment.
c. Change in life circumstances: Whether personally or financially, it can have a huge impact on clients’ ability to continue paying that rent premium or sticking to rent-to-own lease obligations. Should anything happen, the consequences can be devastating, and the client may lose all the money that was put aside for the deposit and/or down payment.
d. Financing Not Guaranteed: After the lease expires and the client chooses to purchase the property, the client still needs to secure financing, and there is no guarantee that the client will be able to obtain the financing. Securing a mortgage is the sole responsibility of the client, and if the client still cannot afford a mortgage and/or credit history is still insufficient for consideration and/or there is a decline in the property price for any reasons, the client may lose all the money that was put aside for the deposit and/or down payment.
e. Potential Loss of Investment: In a typical rent-to-own arrangement, the client may pay more than the actual fair market rent each month. The additional rent money actually goes toward the eventual down payment for the purchase of the property. When the lease expires, the tenant then seeks financing to secure the purchase of the property. At this point, it then becomes the lender’s decision what amount may be applied toward the down payment. If the lender decides that a smaller or larger portion of the rent applies toward the down payment, then either the tenant or the landlord stands to lose money at the time of sale.
f. Market Decline: Understand that if the market declines, the client will still have to pay the higher price stipulated in the contract to own the property. And, failure to secure financing, the client may lose their deposit, and depending on how the contract is written, may lose all the money that was put aside for the deposit and/or down payment.
VIII. Consent & Privacy
I/We understand that Homesy Inc. or its subsidiaries (“Homesy”) collects personal information in accordance with and for purposes detailed in its privacy policy available on https://homesy.ca/privacy-policy (“Privacy Policy”), including to provide the services requested, better understand my/our financial needs and determine how Quadrant Financial, it’s partners and affiliated companies may be of service to me/us. The type of information collected and related purposes include: a) Data such as name, address, contact numbers, email contact, income, employment, age, net worth, investment objectives, insurance coverage, and banking information; b) Unique identifiers: such as social insurance, driver’s license, passport numbers, etc. (as authorized by law); used to fulfil regulatory and other governmental obligations as well as to confirm and/or authenticate my/our identity; c) Information from a consumer reporting agency or another source, which may include account information and/or information about my/our creditworthiness to help determine a mortgage or related products for my/our needs and to establish or verify my/our credit.
IX. Sharing of Personal Information
I/We the undersigned understand that Homesy and its subsidiaries may share my personal information as detailed in its Privacy Policy, including with its agents or anyone acting as an agent on its behalf (“Authorized Agent”), including as follows: a) Homesy and its subsidiaries may share my/our personal information to credit bureau agencies, financial institutions, private investors, insurance companies, etc. to determine my/our eligibility for products and services. b) Homesy and its subsidiaries may share my/our personal information to Authorized Agents or entities within the Quadrant Financial Group as needed for the provision of services or products requested and/or as detailed in its Privacy Policy. c) Homesy and its subsidiaries shall use my/our social insurance number as an aid to identify me/us with credit bureau agencies and financial institutions and for credit history file matching purposes. d) Subject to my/our right to withdraw consent detailed in the Privacy Policy and optional consents provided in this Consent and Privacy Agreement, Homesy and its subsidiaries may use my/our information to conduct surveys on the quality of its products and services or to provide me/us with offers for additional products and services that they feel may be of interest to me/us.
X. Credit Consent
I/We the undersigned, declare the information provided in the application is a true and complete representation. I/We understand that it is being used to determine my/our creditworthiness and to evaluate my/our request for credit. I/We authorize Homesy and its subsidiaries or their designate to obtain a credit report if needed. I/We acknowledge that the completion of a credit application may take time and it might entail additional credit reports. I/We authorize Homesy and its subsidiaries to exchange such credit information or obtain additional credit reports for up to six (6) months from the date signed below for the purpose of securing credit or other products and services with potential mortgage lenders, insurance companies, Authorized Agents or other service providers
XI. Suitability
I/We are aware of:
a) A broad overview of the Rent-to-Own process: its’ applicable monthly payment along with monthly savings and buyback price at the end of the term.
b) The importance of improving my/our credit and overall personal finances to ensure we can qualify for a mortgage at the end of the term.
c) How terminating or defaulting the agreement prior to maturity may involve losing the initial and accumulated down payment and/or option credits.
d) How changes in my/our employment (e.g. reduced income), credit, liabilities, etc. may affect the ability to qualify for a mortgage at the end of the term including any other changes in the market conditions.
e) The monthly payment of that I/we are comfortable paying is {monthlyRent} based on my/our current personal financial obligations (including condo maintenance fees if applicable)
f) The inherent risks associated with rent-to-own and mortgages. Quadrant Financial and/or any of its agents do NOT guarantee or make ANY promises towards mortgage approval.
g) Having been advised to seek Independent Legal Advice “ILA” regarding any and all agreements related to Rent-to-Own.
XII. Canada Anti-Spam Legislation
I/We authorize Homesy and its subsidiaries, affiliated entities, and authorized agents to keep in touch with me/us via electronic messaging in order to provide me/us with content and provide insightful information on mortgages, finances, etc. I/ We wish to be kept informed and consent to the receiving of these informative electronic communications. I/We understand that I/we can withdraw consent at any time. I/We understand that even if I/We do not provide my/our express consent to receive promotional communications, I/We may still be contacted, if authorized under applicable anti-spam legislation, for example, if I/We have recently entered into a transaction with Homesy and its subsidiaries (and therefore, Homesy and its subsidiaries has my/our implied consent) as well as for transactional purposes such as contacts for customer service and/or product or service information, status updates or renewals, reminder notices or answers to my/our questions or inquiries.
XIII. Ongoing Commitment
I/We have read the Privacy Policy available at https://www.homesy.ca/privacy-policy, and understand that the collection, use and disclosure of my/our personal information by Homesy and its subsidiaries will be done in accordance with such Privacy Policy. I/We agree that a photocopy or electronic copy of this Consent and Privacy Agreement has the same value as an original. I/We have read, understood, and received a copy of this Consent and Privacy Agreement.
I/We, the undersigned, by clicking ‘I agree to the terms and conditions’ on the application, hereby agree that we have read this agreement and are bounded by its terms and conditions.