Selling your house and renting it back
The mortgage rescue scheme is designed to help people who might otherwise be facing repossession orders, to stay in their own home as a tenant. The scheme has a network of landlords who can help people to remain in their home and pay rent. All of the landlords who work with the mortgage rescue scheme have to be fully accredited members of the Landlords’ Association.
Schemes like this are designed to help people to sell and rent back their homes under a five year plan. You can sell your home to a landlord and then rent it back for a period of five years when you can either buy the property back, request that the property be sold or move to another location while remaining in the scheme. The other thing that you can do if you don’t want to look at selling and renting back is to stay in your home while the scheme helps you to look at other options of making this affordable.
The mortgage rescue scheme helps people who are having trouble paying their mortgage and may have got into arrears. One of the options that is open to you if you are in this position is to sell your home, pay off the arrears and stay there while you find something more affordable. When you do this it means that you can move without having to rent somewhere else. If you do decide to sell quickly then the mortgage rescue scheme may be able to help find a buyer for your home.
If there is enough equity in your home and you have enough income then you might want to look at getting a remortgage on the property. The scheme can also advise you on coming to some arrangement with your mortgage lender before they start repossession proceedings. You can sell and stay in your property and rent it back from one of the approved landlords under the scheme. You will be paying rent instead of a mortgage but you would be able to stay in your home – this is much better than letting things go so far that the mortgage company takes out a possession order as it will have less effect on your credit rating.
Should you decide to accept the offer of sell and stay then the mortgage rescue scheme tries to complete the process as quickly as possible, once it is complete then you start to pay rent – they will also liase with the courts on your behalf in cases of a repossession or eviction order. When you stay as a tenant under the scheme’s five year plan then your landlord does not have to know your circumstances. Once the five years are up there are a number of options, you can stay on under a normal tenancy, you; can buy back the property at a pre-agreed price. If you are having mortgage problems then it may be worth getting in touch with the scheme.