There are specialist companies who may offer to buy your home and then rent it back to you. This is called a sale and rent back agreement. The agreement may ease many stressful problems that are typically associated with financial difficulty such as if you are unable to keep up with your mortgage repayments or you need to release equity in your home.

Buy house and rent back agreements work by the company buying your home from you and then renting it back for a certain period of time. You would usually be offered around 70% of the value of the property and while you could get 100% by selling yourself, you would have to pay estate agent’s fees and solicitor’s fees. The pros and cons therefore have to be weighed up.

When choosing a sale and rent back agreement, the fees for the solicitor will be paid and the whole process of selling your home is generally much easier than with an estate agent. If you have weighed up the good and bad sides to taking a sale and rent back agreement then next step is to choose a company who is ethical and meets the requirements of the FSA.