What are these sell and rent back schemes about then?
Have you ever thought about Sell and rent back your house ? I haven’t and I cant see why anyone would want to sell and then rent back their home?
The rent back firms take a huge discount, upto 30% off the real market value of your home and then they make you pay rent on the house that used to be yours.
The only good news now is that the whole rent back market is fully regulated by the FSA – the same government department who also regulate financial companies in England and Wales.
I’ve heard some horror stories where rent back have gone really BAD.
One person I heard of in Leeds was swiftly evicted from their home as the landlord (rent back landlord) who bought the house went bankrupt and the house was repossessed by his mortgage provider none payment of mortgage arears!
Thats just terrible!
Saying this, I’m sure that now the FSA have got involved the schemes and companies that run these programs will be much improved and will provide a much more safe and protected rent back service for those who want to go down this route.
