Rent-to-Own Disclosures

Rent-to-own (also called rental-purchase or lease-purchase) lets you take delivery of a shed, barn, garage, or similar building now and pay for it over time in regular payments. You rent the building from the funder, and you have the option to own it — either by making all of the scheduled payments or by purchasing it early. You choose the term length, and a longer term generally means a lower regular payment but a higher total cost.

It is not a loan. It is not a credit transaction. It is not lay-away. No portion of your payment is “equity” or “principal” on a loan. You are renting the building with an option to purchase, and you do not build ownership interest until you complete the agreement or exercise the early purchase option.

For a plain-English breakdown of the concepts rent-to-own is sometimes confused with, see What Rent-to-Own Sheds Is — and What It Is Not.

You make regular payments to the funder, typically beginning after delivery. Depending on the funder and your state, an initial payment, an administrative fee, applicable tax, and (where applicable) a security deposit may be due at signing. The exact amounts, schedule, and any fees are set out in your agreement with the funder.

You may pay off your agreement and own the building early at any time. The early-purchase amount is calculated under the funder's terms and is based on how much you have paid and how much remains; it will be less than the remaining total of payments. Contact the funder for your exact early payoff amount.

You may end the agreement and return the building at any time without penalty. The funder will arrange to retrieve the building. You are responsible for payments through the date of return as described in your agreement.

State reinstatement rights apply. Most states give you a grace period and the right to bring your account current and continue the agreement after a missed payment. The funder handles billing, late charges (subject to state caps), and reinstatement under the terms of your agreement and applicable state law.

Most funders offer an optional Liability Damage Waiver. Where offered, an LDW typically covers certain losses such as fire, flood, theft, storms, and other Acts of God. Pricing varies by funder (for example, RTO National's published rate starts at $7.95/month). An LDW is optional and is not required for delivery. You choose whether to add it.

Lease-side rent-to-own agreements with most shed funders (including RTO National) generally do not report to consumer credit bureaus. Some finance-side products may. We make no representation about how any agreement affects your credit — confirm reporting with your funder.

Rent-to-own is available in most states. It is not currently available in Minnesota, New Jersey, Wisconsin, or Wyoming. If you are in one of those states, you can still browse our directory and contact a local dealer about cash-purchase options.

Some states have specific rental-purchase disclosure and contract requirements. See our State-Specific Disclosures page for details.

The funder is responsible for the rent-to-own contract. The dealer is responsible for the building and its delivery. RentToOwnSheds.com is the directory that connected you; we are not a party to the contract.