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Sell your house in London quickly

Sell Your Property Today

We buy properties in London and within the M25

Should you sell and rent back?

With increasing numbers of homeowners facing problems keeping up with mortgage payments, sell and rent back solutions are becoming more and more popular.
Sell and rent back agreements allow homeowners to sell their property to a cash, who will then rent it back so people can remain in their own home.

Though homeowners will receive less than the full market value for their houses, such deals can be beneficial to those who are threatened with repossession, as it allows them a quick house sale to pay off debts whilst preserving their credit record and their ability to borrow in the future.

Why choose sell and rent back?

Homeowners will typically receive less than they would on the open market for their property by selling to a cash buyer, up to 85% in the case of Molae Properties.

This may not seem like an attractive prospect to some, but for those fearing repossession due to mortgage arrears or facing personal debts it is often seen as a simple way out of trouble.

The quick house sale options offered can allow homeowners to avoid the bailiffs and stop the repossession process.  For those without too many other options, the attraction of sell and rent back is that you do not have to disrupt childrens schooling etc, and it can avoid a major upheaval.

What are the disadvantages?

The biggest drawback is that homeowners are selling their property for less than it is worth and will then end up paying the equivalent of the new owner’s mortgage.

Sale-and-rent-back and quick sale companies deal with those needing to settle debts, swiftly relocate, avoid a property chain breakdown, or who have below-par homes that are difficult to sell. These types of adverse circumstances create a need for quick sales or special sale requirements but the trade off is to sell at a reduced price. The quality of service from sale-and-rent-back firms can differ widely, with some more established and professional operators seeking to protect their reputations but others simply out to make a quick buck. The services are unregulated and most offer no security in terms of long-term tenancy or rent levels.

In the worst case scenario, a previous owner could find themselves evicted at the end of a six or 12-month assured shorthold tenancy having sold their home for a bargain price.

Anyone considering sale-and-rent-back should first take great care to check out the company they are considering selling up to. There are now many property buying firms that offer quick house sales, but not all can genuinely provide this service.

To be able to conclude a property deal within a matter of days, companies will need to have access to the cash, so any companies that need to apply for a bridging loan until a mortgage is approved on a property will be unlikely to conclude a deal as quickly as they promise. Some companies are well aware of this, and will tie you into a contract while they wait for financing.

Latest testimonial

The sale of my property was well managed with regular communication and advice and support provided throughout the process.  The company also provided legal support through one of their panel solicitors which was professional friendly and reassuring during what was a complex sale.  They are trustworthy and reliable and I would recommend this company to anyone looking to sell their property.  Thank you for making this a much easier process.
R. Mangal, Leyton, London, E10

Sell House Quickly London