UK Property
by theWatchdog.co.uk

 

Sell and Rent Back

When faced with ever increasing mortgage arrears and no sign of how to escape it might seem inevitable that the only option is to allow the mortgage and / or secured loan providers repossess your home. Sadly for many this not only means losing their home but also they will be left with other costs from the repossession and to complete matters their credit history will have been affected making it hard to obtain future credit and even a tenancy contract for renting a new home.

This is where sell and rent back provides an alternative. This is an option where the owner of a house or flat can sell the property to a company who will take on the mortgage debts and then rent back to the home owner. On the downside these companies will buy the property at a discount to its market value, but then they take on the risk of future house price changes and usually they cover all of the fees to complete the sell and rent back. Whilst this may not be an option suited to everyone facing repossession it certainly provides a life line to those burdened with mortgage debts.