Sell Then Rent Back

As the number of repossessions rise an increasingly talked about option for home owners in arrears with their mortgage payments is how to sell and rent back their home. This works by finding a buyer who can achieve a fast house sale and then rent it back to the previous owner, who now become a tenant.

The first point to be aware of is that by going for a sell and rent back option you are effectively giving up home ownership and instead choosing to become a tenant. The obvious disadvantage is that you will lose your foothold on the property ladder. That said the advantages are quite significant if you are unable to keep up with your mortgage payments. This option allows you to continue living in your home but without the mortgage headache.

Caution however should still be applied, do not jump in with your eyes closed, make sure that you chose a buyer who will provide you with a fair tenancy agreement, ideally with a fixed rent over a number of years. If you feel this option is for you then consider repaymortgage.co.uk, they provide services for people who want to sell then rent back their home. They also offer free advice!

Financial Services Authority (FSA) Regulations

WARNING: THINK VERY CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME COULD BE REPOSSESSED IF YOU DO NOT KEEP UP WITH REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON YOUR HOME.