Lease-Option Agreement

The initial term of the Lease is generally one year, and the Lease automatically renews every year as long as the resident is in compliance with the Lease and Right to Purchase Agreement. Each year, the resident has the right to give notice that he/she does not want to renew the Lease for another year. If for any reason the resident decides to leave the home at the end of a Lease term and is in compliance with the Lease, the full security deposit will be returned. The resident's financial commitment is limited to the initial term of the Lease. The resident does not have to renew the Lease after the initial term. The maximum number of years of the Lease is five.

Right-to-Purchase Option Agreement

The resident's Right to Purchase Agreement (and therefore Right to Purchase) is in effect as long as the Lease is in effect, and the resident is in compliance with these two agreements. The Right to Purchase Agreement gives the resident the right to purchase the home from LTH Rentals at a pre-defined price for each year of the Lease, as long as the resident is in compliance with the Lease and the Right to Purchase Agreements. The maximum number of years a resident can rent the home and have the Right to Purchase is five years. The Right to Purchase does not obligate the resident to buy the home.

Escrow

Generally within 48 hours of a seller accepting LTH Rentals' offer for the purchase of a home, prospective residents will be required to sign the Lease and the Right to Purchase Agreement and provide the deposit, all to be held in escrow, pending the closing of the purchase of the home by LTH Rentals. Prospective residents will have an opportunity to review all documentation, and LTH Rentals encourages all prospective residents to consult with legal and tax advisors to review such documents and the transaction prior to signing any documents.