Hello fellow CPers! I'm asking for expert opinions and advice here. Does anyone know much about these guys? Is this a scam? Buddy of mine from work got offered cash to basically apply for a mortgage. Once approved, he basically rents it out to a tenant under a rent-to-own contract. After about a year, the tenants apply for their own mortgage. Once approved, my co-worker would be taken off. He gets around $5000 up front for this.
From my understanding, this is legal because there is a contract written up between the tenant and Rent2ownCalgary as well as a contract between my buddy and Rent2ownCalgary. He wanted to know if this is illegal. I don't think it is, but from my perspective, it seems too good to be true. The only thing that may be in the grey area is that my co-worker has a mortgage already, but that will not be disclosed when he applies for this one, thus making qualifying easier.
Here is their link.
www.rent2owncalgary.com
Just wondering if anyone has heard anything about these guys. I want to tell my buddy tomorrow to either go for it or forget it and right now, I am sitting on the fence whether this is a good idea for him or not