NHBA California Dream Properties

This company provides assistance to prospective homebuyers who are unable to purchase a home due to credit or financial issues. The company claims to accomplish this by purchasing the clients chosen property on their behalf, and then leasing it back to the client for approximately one year with an option to buy at the end of that 12-month period. Clients must fill out an application to NHBA (via Web, fax, mail, or over the phone) that establishes pre-qualification for the program with NHBA. Upon approval from NHBA, clients have a 60-day 'window' to shop for the home of their choice. Some restrictions apply. Clients must pay the company an Option Fee equal to 3% of the purchase price of the property. . Upon receipt of the Option Fee, NHBA negotiates with the seller, then buys the home in their name. The client then moves onto the property with a rent or lease to own contract. Monthly payments are generally about 1% of the total property price. On a $250,000 property, monthly rent/lease payment would generally be $2,500 per month. The Option Fee, monthly rent, rent payment rebate, and predetermined purchase price of the home should be disclosed within your contract with NHBA at the beginning of the transaction. The company claims "up to 50% " of money paid as rental fees, and option fees can be applied as a credit for the purchase of the home.

At the end of the initial 12-month period, clients are given the option to purchase the home at the predetermined price. Depending on which of three programs selected, clients can receive up to 50% of the total rent paid during the 12-month lease period as a credit towards the purchase of the home. After completing the 12-month lease period, and having complied with and followed the credit guidelines outlined on the agreement with NHBA, the company claims that clients will "most likely" to be able to secure a traditional mortgage for their home.

The BBB advises potential buyers to get all specific terms and conditions in writing before making a buying decision. Companies providing real estate transactions of this nature should disclose all contractural and financial requirements to potential customers before entering into any transaction.