lease-purchase

A lease-purchase agreement is a plan where you rent an item, like machinery or property, with the option to buy it later. During the lease period, you pay regular fees, and part of those payments may go toward the eventual purchase price. This arrangement helps you use the asset while deciding whether to buy it, often with the benefit of locking in a purchase price upfront. It’s commonly used in real estate and equipment financing, allowing flexibility and time to secure financing or evaluate the asset’s usefulness before committing to ownership.