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Quick House Sale : a Friend During your Tough Time

By admin on Monday, July 26th, 2010 | Comments Off

Unfavourable conditions in life don’t come with pre-calling and pre-planning. But, you have to be prompt enough to deal with all situations predominantly. People are often seen entangled into financial difficulties creating havoc in their life. Sometimes, financial situations are so gruelling that you fall in dire need of selling your property, and get some cash. And, there are greater possibilities that you are surrounded by buyers giving you minuscule amount in return of getting your property/house. Quick house sale, thus, in UK has become widely in vogue. The selling method helps you greatly in getting appropriate amount of money of your house which you want to sell.

The facility of quick house selling is ideal for those homeowners who are in urgent need of selling their home. Reasons for selling their home may be numerous. It may be possible that you are having financial hard-up, as you have to pay off a mortgage. You might get some some more tough situations than it. Another reason may be that you are about to migrate to other country, and you have to sell off your house in pre-determined period. This is where the method of quick house sale comes greatly in handy.

It helps you in selling your property/house in very small time frame. It doesn’t mean that you will be paid a poor amount of money for your house. It is not that. You get the true value of your house. In UK, there are numerous of quick house sale agencies which provide this facility to their customers. Important to add, their service is totally free of any charge and obligation. Once you have sold your house, there are options that you can rent back or buy back the house. Availing this service you all need to do is some online research, and seek a good agency in your area. The best you can do to compare the various price of your house you are being offered by many agencies. And, finally go for the one paying you better.



Real Estate Professionals

The Pros and Cons of Rent-Back Home Sales

By admin on Monday, July 19th, 2010 | Comments Off

With a struggling economy comes a prevalence of advertising for rent-back services; indeed, many people have probably noticed an increase in advertisements along the lines of “We Buy Ugly Houses.” Homeowners may choose the rent-back option for a variety of reasons, but any person who explores this route should consider the pros and cons of rent-back sales, as well as the options inherent in doing so.

WHY RENT-BACK SALES ARE AN OPTION

There are numerous reasons for this uptick in rent-backs: foreclosure avoidance, loss of employment, divorce, and a desire to reduce expenditures all factor into higher rent-back behavior. Though rent-back behavior often means taking a loss on one’s home, some choose this option as a way to buy time in avoidance of a foreclosure.

Those who take the rent-back route are often able to stay in the home during the sale, but rent must be paid in these cases. Though rent will likely be comparable to area rates, short-term rent will likely cost extra. However, one must balance an increase in rent against the extra costs associated with finding other short-term living arrangements.

SELLER ADVANTAGES

Though rent-back sales are likely to net lower prices for the seller, there are benefits for those taking this route. The seller may wish to allow their children to complete a school year prior to moving, which obviously lessens the stress level of a move as compared to mid-year moves.

In addition, those constructing new homes may need extra flexibility in existing housing arrangements to account for any delays in construction. Sellers who are in the market for a new house may want the peace of mind that comes with selling the existing home prior to buying the second. Both of these instances demonstrate the flexibility inherent in rent-back options.

SELLER DISADVANTAGES

Selling a home to an investor also has the potential drawback of the house being sold before the seller is ready to move out. Lease periods can be difficult to extend for this reason, and can especially be an issue when the loan is dependent upon possession of the property being taken by the new owner. Any of these issues should be investigated prior to striking an agreement with a buyer.

When one sells their home “as is,” a potential trouble arises concerning when the “as is” period actually is. Also, the buyer and seller need to agree on who will make any necessary repairs to the home as the need arises. As aforementioned, exploring these potential issues prior to sale will make the buyer-seller transition much easier, and will help to avoid future legal problems.

In the end, there is no easy answer to the question of whether one should follow traditional methods of sale or go the quick sale, rent-back route. However, if one considers all options, explores potential pluses and minuses, and does their research, then a suitable method of selling a home can be found.

In the end, there is no easy answer to the question of whether one should follow traditional methods of sale or go the quick sale, rent-back route. However, if one considers all options, explores potential pluses and minuses, and does their research, then a suitable method of selling a home can be found.



Sell and Rent Back

Achieving a Quick House Sale

By admin on Saturday, July 17th, 2010 | Comments Off

There may be periods in a homeowner’s life when his or her personal circumstances change dramatically and it makes economic sense to sell the house as quickly as possible, thus releasing the capital that has built up in it. The reasons are many and varied and may include:

1. The breakdown of a relationship. Whether the partners in the house are married or not, there may be financial pressures caused by the breakdown of the relationship. One of the partners may have started another relationship, in which case they may require capital release in order to finance another mortgage or rental costs. Some of the Sell and Rent Back companies will buy the house very quickly, and rent it back to the remaining partner at a competitive rate.

2. The homeowner may have to move with his/her job, either within the UK or abroad. If this move is seen to be fairly permanent, then capital will be required to finance a new home in the new location. For those relocating or emigrating, some of the Sell and Rent Back companies will buy the house in as little as 14 (working) days.

3. If the homeowner has been in arrears with mortgage payments they could fear the prospect of having their home repossessed and see that a quick house sale would be a financially better alternative and enable them to avoid repossession.

4. Should one of the partners in a house die, the remaining partner’s income may be insufficient to cover the mortgage, then again, a quick house sale may be seen as a beneficial alternative to having the home repossessed.

5. In a falling house market, to sell your house now may be a shrewd move. If financial experts project that house prices may fall 20%, then the homeowner could take the view that selling the house quickly, without Estate Agent’s or Auctioneer’s fees, for as close to its current value as possible, will reduce the capital loss. The house could then be rented back at a competitive rate until the market is viewed to have ‘bottomed out’.

The average level of personal debt is increasing, and a quick house sale may be seen as one way of paying off all debts in one go. This is especially useful if you suffer a reduction in income which is viewed as a temporary situation. To sell the house, pay off the debts and live in rented accommodation for a while may be a sensible strategy. Indeed, with many of the Sell to Stay companies, you can sell your house quickly and rent it back at a competitive rate.

There are many routes to achieving a quick house sale.

1. Estate Agents – Estate Agents will always tell you that they can sell houses very quickly. This may be true when the market is rising and there is a lot of competition for every house, but when prices flatten, or indeed fall, houses stick and your ‘quick sale’ may be lost.

2. Auction – Auctions are the ultimate vehicle to value a property. Any property is only worth what another will pay for it, and an auction with many interested parties in the room will produce the best market price for a property with a very quick sale.

3. However, anyone who goes to an auction will be expecting a bargain – they view the items that go to auction as being ‘on-offer’ and only there because they have failed to sell elsewhere. You may not get a good price at auction.

4. Sealed Bid – Requesting sealed bids is another good way of valuing a property. However, the process suffers from the same market pressures as the previous two. From the buyer’s point of view, putting in a sealed bid when the market is rising is a worrying process, as he/she doesn’t want to bid too low for fear of losing it. This can result in some extremely over-priced bids. On the other side of the coin, in a falling market the worry is that the buyer may bid too high and end up with a home in negative equity. This results in the seller receiving a number of disappointingly low bids.

5. Sell and Rent Back – Sell and Rent Back companies will buy your house very quickly – many of them promise to buy it within 14 (working) days. They will give you 80% or more of the value of your house – but that’s it! You don’t have to pay the Estate Agent or the Auctioneer, just your legal fees. Furthermore, many of the Sell and Rent Back companies will allow you to stay in your home and rent it back at a competitive rate.

So if you need a quick house sale, you must try to strike a balance between speed and the amount of money you will receive from the different methods of selling your property.



Sell and Rent Back

Rent or Buy?

By admin on Wednesday, July 14th, 2010 | Comments Off

Everyone who intends to move out of the parent’s home inevitably ends up asking him/herself an important question: “Should I rent a house or buy it?” The decision doesn’t seem obvious, but let us look at the matter more closely.

We all know that renting a home can be very easy and painless, but what if you are not getting the best possible deal? Purchasing your own home has always been a better decision, because the money you spend on it are the money you actually invest into firm real estate assets. There is a popular saying, stating that renting a home is like putting your money into a trash can, while buying a home is like putting your money in a bank. To a certain extent this is surely true: when you eventually move out of a rented home, you remain with nothing to show for it, but when you move out of your own house, the one that you have purchased, you can always sell it and gain back a substantial part of the money you invested into it, adjusting for the markets inflation of course. Basically that’s why buying a home is actually a better alternative, however easier the renting option may seem at first glance.

Houses these days cost so much that most people can’t afford to pay the whole cost at once. That’s why we need mortgages. Mortgages allow us to pay for a house over a period of 15 to 30 years, instead of paying entirely upfront. Now, returning to the choice between renting and buying, think of it this way: no matter whether you rent or buy, it all actually comes down to paying a monthly payment for a house. A monthly mortgage payment can amount to over $1,000. But on the other hand renting a nice house may cost you the same, except for the fact that, if you rent a house, repairs paid for by the landlord. If you take out a mortgage, you have ownership of a house and can sell it when you decide to move out, and if you decide not to move out, then you will have your own home to live in once your mortgage is fully repaid.

Another reason for buying a house is that when you rent a house, you have no guarantee that you will be able to stay in that house for a long period of time. When renting a house, you usually sign year-to-year leases, but at a certain point the landlord may decide not to rent out the house any longer, and will have an unquestionable right to do so. If you have your own house, you never run into this risk.

Finally, you may find it to sound sentimental, but one more big reason to buy a house is memories. Surely, you can have quite nice memories in a rental house as well, but your own home gives you a sense of place – a place for your family to gain and share memories.



Rent Back Fast

Repossession Can Be Avoided by Choosing to Sell and Rent Back the Property

By admin on Saturday, July 10th, 2010 | Comments Off

Repossession can come about for many reasons, and of course this has devastating consequences on the whole family. If you are faced with losing your home as a result of being unable to pay your mortgage or even if you are already at the stage of repossession proceedings then you can stop them in their tracks and remain in the property.

A sell to rent back option could be the key to your mortgage problem whatever stage you are at. If court proceedings have already begun then the company would be able to work with you (providing of course you are selling to them) to have the court order stopped and give the sale time to be completed. The majority of sales this way will go through as quickly as possible in just a matter of a few weeks. Being able to make such a quick sale and of course reduce the anxiety associated with mortgage and repossession problems is essential and by being able to sell with the option of renting back the property you could get a win-win situation.

Of course when looking into taking a sell to rent back option you would have to weight up both the pros and cons of taking this as an option. The majority of companies will make an offer which is around 80% to 85% of the value of the home. You will be given a rough guide as to how much you could sell home for in as little as 24 hours from applying online. Someone will then come to see the property and provide you with a written estimate, they will also tell you how much rent you would have to pay and what you could buy back for if you wanted to take this option in the future. If both sides are happy the sale can then go through.

Although you would not be offered 100% of the value of the home you do not have any fees to pay such as those to advertise the home through an estate agent. You would also not have solicitor’s fees or indeed any fees to pay by selling this way. All of these fees could add to a considerable amount if you decided to risk selling yourself. There would also not be any guarantee that you would sell your home fast or indeed sell it at all this way. Another factor of course that you have to weigh up when considering taking this option is that you would be able to remain in the property as a tenant. If you need to sell due to repossession or mortgage problems then a sell to rent back option is worth looking into and it does not cost anything to get a quote using the free phone number which will be supplied or by filling in a form online. A sell to rent back could be the answer to your financial problems and of course if the situation improves you can buy back for the fixed price.



Repossession

Quick House Sale Changes the Course of Cash Flow to your Favour

By admin on Thursday, July 8th, 2010 | Comments Off

The world today is dynamic where money is always flowing and floating in the market. Every individual who participates in this constant transaction of cash sustains a certain equilibrium of cash inflow and outflow. But then, it may just happen at one time that there is a negative flow of balance, as when your expenditures are more than your income, that you find that money is emptying from your reserves. This means that this flow of money has taken a course unfavorable to you, and you are left dry in your banks.

So what do you do to overcome this shortage of cash? You can fall back on the ever-reliable property of yours. The equity you have stored in there can be converted into cash so that you are up and running again. With quick house sale, you are able to deal smoothly with an emergent situation. The fixed assets become liquid cash so that it flows and clears your troubles out of the way. With the rent back scheme, you can even keep staying in the house, going on with your normal life, instead of the trouble and the shame of having to move out.

Quick house sale is an option worth considering when you are faced with difficult situations such as repossession. It is also a very feasible thing when you are faced with divorce proceedings and the huge expenditure that goes along with it. Quick sale also helps you to separate in a judicious manner.

Also in a situation where one has inherited a house and is finding it difficult to manage it, many people wisely opt for a quick house sale. The house gets a manager who would furnish it out, and you may rent back this property if you want a joy of residing in your inherited property. This scheme comes in handy thus on different occasions.



Sell and Rent Back

Rent a House in Bangkok

By admin on Sunday, July 4th, 2010 | Comments Off

Rent a house in Bangkok

When I first moved to Bangkok, I rented an apartment like most newcomers to Bangkok do, but as I became more familiar with my new home town, I decided to be a little more adventurous and rented a house. Having lived in houses over the past five years now, I’ve found that renting a house in Bangkok not only offers more space and privacy, often it is also much better value compared to apartment living. More often than not, it is also a cheaper option (per square metre) compared to renting an apartment or condo, which are getting smaller in size these days! If you enjoy wide open spaces, appreciate some green in your life – a garden perhaps, have pets, a large family or simply want to maximize your budget, consider renting a house instead.

Another advantage in renting a house is, apartments tend to put a high surcharge on your electricity and water bills. Many apartments have a minimum charge of 1000 bht for water alone. That is a significant amount considering my water bill never cost me over 500 bht living in a house with a family of 5, and we do A LOT of washing! Electricity can be anything between 5 – 7 baht per unit compared to the actual 3.75 baht charged by the MEA. Living in a house can save you up to half your utility bills compared to living in an apartment, and believe me it is A LOT of difference!

Thailand is cheap!

As you may already know, Thailand (more accurately, “Bangkok”) is not the cheap haven many foreigners once thought it to be, especially when it comes to housing. Property prices and rental have gone up considerably and that’s the way it goes everywhere around the world. The very same 2 bedroom unit I rented 5 years ago (in Silom) has gone up by 30% in rental and hardly any refurbishment has been done to it since! “That’s ridiculous” you say and believe it or not, I agree! But hey, I don’t make the prices and if you think agents benefit from that higher commission, that’s only true when clients actually think these houses are worth the price and that isn’t always the case.

Renting a house in Sukhumvit, Silom or Sathorn.

If you are looking to rent a house in the the Sukhumvit, Silom or Sathorn area, then the very minimum rental you are looking at is 30,000 bht for a BASIC 3 bedroom house. Even then, they are few and far between in that range, and more often than not are above 15 years old, with dark parquet flooring and lots of wooden built-ins which many people find dark and depressing.

Most people prefer something a little brighter and contemporary. That would mean newer houses between 1 – 5 years old and these start around 45,000 bht. Depending on the location, size, décor, facilities etc. these can go up to anything from 150,000 – 250,000 baht per month. For that price, please do not accept anything less than a spectacular, resort-like villa with a private pool!

No, but seriously, you do get what you pay for so be realistic when it comes to expectations and budget. If you want something new and modern but lack the budget, then move further away from the city centre. Which also means further away from the BTS line. Unfortunately, we cannot have it all and something’s gotta give.

Generally, if you go further towards the end of the BTS line and beyond i.e. Mo Chit, Phayathai, Phrakanong, On Nut, Bangna, Srinakarin, Rangsit etc. prices drop significantly and you get much better deals which are sometimes worth the extra time commuting.

Is it possible to find a house for 15,000 bht?

Not many agencies deal with houses below 25,000 bht. Just search the various property website in Thailand and you will see that the minimum range for houses are 25,000 – 30,000 bht, where the search usually returns 0 – 5 results. Several reasons for that:

1) There are a lot less decent and rentable houses at < 25,000 bht than there are at say, 50,000 bht.

2) If there is, it is usually way out of town, far from any BTS/MRT station.

3) Most people want to live in town, close to the city centre, CBD or near a BTS/MRT station.

4) Apart from location, houses below 25,000 bht are usually older (thus old fashioned) and not very well-maintained, which makes it very hard to rent.

5) If a house is nice and decent with an asking rent of 25,000 bht or less, some agents mark it up!

Thus, it’s hard to find nice, decent houses at 25,000 bht or less…

Regardless, there are plenty of cheap houses as low as 12,000 bht for rent, but remember, and I stress again – you get what you pay for! And most 12,000 bht houses I’ve seen are usually in serious need of repair and maintenance, and the really nice ones are located way out in whoop whoop district.

I don’t care as long as rent is cheap. Where do I look?

Again, you won’t find any agents to help you there and finding that perfect yet cheap and nice house is undoubtedly the hardest step. It usually takes months of driving around moo baan after moo baan, which would mean having your own transport and knowing your way around.

The word “Moo Baan” translates to “village” in Thai, but the term “housing estate” would be far more accurate. These usually have a guard posted at the entrance and are situated all over Bangkok. These houses usually offer much better value than stand alone houses, and are a good place for the house hunter to start his/her search. Try areas like On Nut between Sukhumvit 77 – 103, Bangna, Rangsit, Ramintra, Phayathai, Mo chit etc.

Concerns and other issues

1) Security

Honestly, I know of many farangs, including myself who have lived in single houses and existed peacefully without any disturbances or trouble for years. I also do not know anyone who has been burgled personally because they were living in a house. Do you?

If you are considering renting a house and security is a main concern, rent a house in popular areas like Sukhumvit, Silom and Sathorn where there are many nearby apartments and condos with security. That way, you can benefit from the dense security in the neighbourhood.

Another option would be to opt for houses or townhouse within a “moo baan.” There are plenty around and majority of them have tight 24 hour security. Common sense would also tell me to explore the neighbourhood a little and have a chat with shopkeepers and a neighbour who might be willing to share some information with you. I’m sure you’ll have no problems getting a friendly neighbour to spill the beans on the house, its previous tenants and probably things you don’t need to know about your landlord. Welcome to Thailand!

2) Air conditioners

Check to see how many rooms have air-conditioning; and how old the air-conditioners are. If you are looking at an older house, chances are it will have those big, old blocks that rumble every time you turn them on. These old air-conditioners consume a lot more energy than a new one, and would greatly increase your electricity bills. It is also unlikely that the landlord will install new air-conditioners for you unless they are completely dead (even then they will always try to revive the monster before even considering replacing it), so make sure that they are serviced and cleaned before you move in or if you got a good deal on the rent, invest in some new airconditioners!

3) Water Pressure

Now this is important. Always check that there is a water pump. Then check the water pressure on the upper floors to make sure the pump has enough power to deliver a decent jet of shower. I’ve learnt from experience that size does not necessarily mean power when it comes to a water pump, and sometimes a 2nd pump needs to be installed to ensure constant deliverance of water into the house.

4) Telephone lines

Again, from experience it is in your best interest to check the phone lines to make sure that 1) you have one and 2) it is working, because some areas (and this includes many areas in the Sukhumvit, Silom and Sathorn) do not have anymore available numbers and you will have to join a looong waiting list to apply for a new one. Also, older houses above 10 years old tend to be on the old, analog system which when faulty, cannot be replaced unless the whole area is re-cabled. No telephone lines = no internet. You don’t ever want to be caught in that situation!

5) Maintenance

Houses within a secured compound will have what they call “moo baan fee” or “community fee” which goes into the maintenance of the estate i.e. security, pool and garden maintenance etc. This is usually included in the asking rent. However, if you try negotiating on the rent, then more often than not, the landlord will exclude this from the rent and make you pay for it, so check to see what your rent includes when you are signing the contract. This ranges between 20 – 45 bht per square metre. Thus, the larger your house the more you pay! I currently pay 3,500 baht per month for my “moo baan fee” (I got a 5000 bht reduction in rent, so it works out) and we have 24 hour security, a well-maintained common garden and a superb pool that is regularly cleaned, so I am happy.

At Bangkok Finder, we specialize in properties for rent. Home rental is our only business and that gives us all the time in the world to help find you that perfect house within your budget when you move to Bangkok. Our website http://www.bangkokfinder.com features hundreds of houses and apartments for rent, and is updated daily with quality rental homes. Our negotiators have long established relationships with landlords, which means you will always pay the best rate when we negotiate for you.



Real Estate Professionals

How to Ensure Quick Sale of your Property?

By admin on Sunday, July 4th, 2010 | Comments Off

At times you find it exigent to sell a property very quickly, almost in no time. Unavoidable circumstances like divorce or separation from your partner may drive you to such an emergency. The common chemistry that united you together is not matching any more. The moral maths of the moment demands a separation. To get over with the stress and strains you are undergoing, you need a quick sale of your property.

Or it may be that you are in need of cash in a flash. With a next to zero bank balance, you may turn to friends and relatives to avail that. You try every reliable source but in vain. So, you see no other alternative than to bank upon your property. But selling a property involves some documentation which, in turn, wastes lots of time. Sometimes it takes months to receive the cash. So, how can you ensure a quick sale of your property!

Well, the answer lies in the estate agents. Under any such circumstances when you need to sell your property quickly, they can provide you with valuable service. They will buy your home, sometimes directly from you. There will be no intervention of any third party. The hassle of documentation will be very less. Most importantly, you will have the cash in your hand very quickly.

Selling a property through estate agents is really smooth and easy. Whatever your circumstances may be, they will be ready to buy your property. You may need a quick sale for bizarre reasons. Apart from divorce, separation and financial difficulties, you may want to sell your property for some other reasons. Thus, you might be lagging behind with your mortgage repayment; so much so that you are heading towards property repossession.

Or you may be going to buy a new home and want to sell out the old one. It may even be the case of going abroad all on a sudden. In all the above circumstances what you need is a quick sale of your property to be in control of your schedule. Your singular effort will not be enough to meet such an emergency. So, the help of an estate agent is a must. They will buy the property instantly, sometimes even within twenty for hours and shell out the money on time.



Rent Back Fast

So, You Found An Article Taped To Your iPod, “Psst. Tell Your Kids That Buying A Home Is Easier Than They Think!” Series Part II

By admin on Saturday, June 26th, 2010 | Comments Off

Just out of school and considering buying your first home? You’ll be surprised how easy it can be to qualify for a loan. Too often, the newly minted workforce doesn’t realize the confidence lenders have in their ability to be responsible homeowners.

Ok, so Mom and Dad told you that you need to buy a house. You’ve graduated from college and you’re earning a decent income. Even though you don’t feel like it most of the time, you are officially all grown up. But you ask yourself, “I’m only twenty-four years old, who would possibly loan me money to buy a house?”

First time homebuyer programs are established with flexible guidelines to attract – you guessed it -first time homebuyers! You are in a great position to buy a home provided you have established some history of decent credit. Even if you don’t have traditional lines of credit to show for yourself, you may have established non-traditional credit and not even realized it. Do you have utilities, a cell phone and cable bill in your name? Have you paid them on time for 12 months? Then you have established non-traditional credit. Granted, many of you already have a credit card or gas card in your name. That’s why Dad wanted your name on it, too. Good thinking on his part. At the time, you were just excited to get the credit card “for emergencies.” It didn’t even occur to you that you were establishing a good credit history.

Most lenders want to see at least a year under your belt earning income. The majority of new job workers are making at or under the median income limit for their area. There are those that beat the curve, but then, if you’re making that much money on your first job, you don’t need a first time homebuyer program. You can probably take another route to your first home. Also, recent graduates can get credit for having a diploma. If you have a diploma and an employer who is willing to verify that you earn what you say and are likely to continue on with them, then you’re good to go -even without a year’s employment history to show for yourself.

Some lending programs ask that a borrower have maintained an excellent rental history, preferably a two year history. But, you don’t get penalized if you have been living at home. Especially, if home is in the same city that your school is located. You are simply asked to provide explanation as to how you managed to live rent free. Sometimes, Mom and Dad have to provide a written statement. They’re probably willing to do that to get you out of the house and off the payroll.

What about a down payment and closing costs? Most programs will allow a seller to chip in 3% of the sales price toward your closing costs. This allowance can cover most if not all of your closing costs. Your Realtor simply needs to be aware that you need this concession so she/he can negotiate it with your purchase contract. And how much do you have to come up with for a down payment? How about $0? Nearly all first time homebuyer programs are designed for empty pocket consumers with potential to earn more and maintain good credit. Some programs don’t require you to have any reserves in the bank. Since so many first time homebuyers live on a budget, these programs allow for the reality of life. And you can be rewarded for being a conscientious consumer with lower than average interest rates being available to you.

You may be ready to buy your first home and not even know it. A good mortgage specialist will pre-qualify you, find out what you can afford or what your comfortable paying. Then, you just have to find the right home. It’s easier than you think!



Quick House Sale

How To Choose The Right Sale and Rent Back Company?

By admin on Friday, June 25th, 2010 | Comments Off

Selling and renting back your home is an extremely important decision so it is essential that you are well informed before you take action. The more information you have the more likely it is that you will make the best decision for you and your family. The aim of this article is to describe 4 factors that you need to consider before you choose a person or company to go with.

It is important you are comfortable with the person or Sale and Rent Back company you choose as it will be a long term relationship. The following four factors should be considered carefully before you make a final decision:

1. Long Term Security: you need to be sure that the company is willing and able to offer you long term security. Get this in writing within the Tenancy Agreement which should give you the option to renew your tenancy every 6 to 12 months as long as you adhere to your obligations (i.e. pay your rent and look after the property). Some will include an automatic renewal clause meaning that the tenancy will be renewed automatically unless you say otherwise.

2. Rent: you need to confirm the amount of rent you will be charged and also how often this rent is to be reviewed. It is normal for rent to be reviewed and raised in small amounts on an annual basis but this needs to be confirmed. An annual rise matching inflation, an annual rise matching the market rents in the area, or a fixed increase of 4 to 5% would be normal. You need to be confident that your new landlord will not raise rent unexpectedly or by a huge amount.

3. Purchase Price: It is obviously in your interests to get a good price for your property but be careful when a company offers full market value for your property (or near to it) and says you can also rent it back for the long term. They will not be able to do this and make money. They are therefore very likely to be lying and they will either lower the price they offer you at the last minute, give a price that is much below market value but they pretend is at market value or try and recover their costs some other way. It costs money to buy a house and rent it back so a company needs to buy at a discount even if they only want to break even.

4. Attitude & Trustworthiness: It is important you feel the person or company buying and renting back your property will have a caring and professional attitude towards you, their future tenants. They will be responsible for the maintenance and safety of your property for the long term so it is important that they take this seriously. Some companies spend all their effort on closing the deal but fail to meet their responsibilities as landlords. As well as getting everything in writing you should feel that you trust them.



Quick House Sale
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