It seems like the entire modern world is still reeling from the last economic crisis which has significantly reduced the property buying power for most families. Fortunately, some private property owners and real estate agents have come up with alternative property buying formulas that you can take advantage of to finally purchase a home of your own. Here are 3 alternative buying formulas that are increasingly becoming popular.

Photo from Alkan de Beaumont Chaglar

The rent-to-buy formula
This is one of most popular options in the alternative home buying solutions in the market today. Basically, the whole concept involves entering into a contract with a landlord to continue paying rent for a specified period with an option fee that gives you exclusive rights to purchase the property when the lease period ends. The agreement states upfront if part or all the rental payments are included in the purchase price. The tenant is obligated to either purchase the house at the end of the lease or lose the option fee. For as long as the option remains valid, the owner cannot sell the house to another party. However, the rent-to-buy option is not for everyone since the rental cost is in most cases much higher than the market rate. This is mainly because each monthly payment is deducted from the entire property price.

Bare ownership
This is another alternative home buying formula that is becoming quite popular in Italy. It is an arrangement where the buyer acquires a home or any other property for between 50 and 60% of its price while allowing the owner to maintain usufruct rights to the property. Usufruct is a legal which means the right to use and reap benefits of a property. In bare ownership, the investor does not have usufruct of the property which is why he or she gets it for a discount. The investor is also responsible for all maintenance costs and taxes. When the usufruct period ends, the purchaser automatically acquires full ownership of the property.

Time-share ownership
This is another form of real-estate purchasing where you, as the buyer interested in using the property during certain times of the year, do not necessarily have to pay the property’s full value to own it. You will only be required to pay a share of the full price since you will not use the property all round the year. Other people who have bought shares for the property will be using it while you are away. This is a good option for buyers who want to get a second home or a holiday retreat in Italy.