Situations Where a Rent Back May Be Useful

Situations Where a Rent Back May Be UsefulThere are many situations where a sell and rent back may be very useful. It can be used when experiencing difficultly meeting your mortgage, if you are going through a divorce or if you would like to get at the equity in your home. The beauty of having the opportunity to sell your home this way for a cash sum is that you would not have to leave the home. You could choose to rent it back and if you wanted, buy it back in the future for a sum of money fixed at the tine of selling.

Rentback can be taken if you are finding it hard to manage the repayments and fear another interest rate rise would push you beyond your limit. It can also be taken if you are already in arrears and the mortgage lender is threatening repossession. It could even be used if you have been given a date for eviction. However the sooner you get in touch with a company offering a rent back solution the easier and less painful the whole process would be. Once you have signed to sell this way you would be able to stop repossession or the eviction from happening as time would be given for the sale to go through. You could then payoff the mortgage with the lender and pay affordable rent each month with the option of buying back if your finances alter in the future.

You could need a large cash sum and the only way to raise it would be using the equity in your home. However usually when selling to release the equity you would need to leave the home. When you sell to a company offering a rent back solution you can remain in the property by paying affordable rent each month using the cash sum for whatever you wish and then buy back in the future. This could be an ideal solution when needing cash in just a few weeks.

Divorce can be very painful and stressful and you may need to sell to be able to split the proceeds of the sale. At the same time one partner might want to remain in the property. This can often be when there are children involved. Rather than uproot them and have to find a new place and possibly a new school for them, the partner can rent back with the option of being able to buy the property back.

You might also benefit from renting back after selling when you are emigrating. If you are not ready to leave at the moment but want peace of mind that you would sell quick then a rent back solution can be ideal. You can pay rent until the departure date, have the cash in hand from the sale and then when ready leave knowing that there are no loose ends for you to have come back for and tie up.