08/29/2025
Greetings, citizens who live in Kennett, Missouri, and are renting properties and experiencing challenges such as possible eviction or disconnection of their utilities.
If you have been offered to purchase the property, you rent through a rent-to-own agreement. Please read the information below!e
Missouri State Laws Concerning Rent-to-Own
The most important thing to be aware of is that in a rent-to-own agreement. The property owner still owns the deed until the purchase amount is paid!
Entering a lease agreement means buying the home at the price you “locked in” at the start of the contract.
When you sign, you’ll pay the owner an option fee (typically 2–7% of the home’s value).
Read the section titled LEASE!
https://www.como.gov/wp-content/uploads/2021/03/landlord-tenantlaw-1.pdf
FOR YOUR PROTECTION:
1 Demand an appraisal to determine the value of the property.
2 Demand that the payment for the property purchase be held in a separate escrow account.
3 Make sure you have a written lease that clearly states:
4 How much of the rent will go towards purchasing the home?
5 Who will be responsible for repairs? 6 Who will be responsible for paying utilities?
7 Who will be responsible for the upkeep of the property grounds?
What Happens to the Tenant if the Landlord Defaults?
* Continued Rent Payments: The tenant must pay rent to the landlord according to the lease agreement, regardless of the landlord's mortgage status. �
* Lender Rights: If the landlord defaults on the mortgage, the mortgage lender may be able to receive the rent directly from the tenants. �
Foreclosure: If the property is foreclosed upon, the tenant will likely receive notice to vacate within a specific timeframe. The new owner (the bank or a new buyer) will assume ownership of the property and all its associated contracts, including the existing lease.
BLESSINGS!
