There could be many reasons why you might want to sell house. You could sell if you were leaving the country due to work commitments and wanted to ensure that you have a sale before leaving. With a company offering a sale and rent back agreement you may be able to sell and then choose to rent back the property. Companies typically offer a rental that is fixed, usually a 5 year period, so be aware of this.

You could use a sale and rent back agreement if you can no longer afford to maintain the repayments of the mortgage. If you fall behind on the repayments the mortgage lender could choose to take your home to repossession and you could be evicted. By choosing to sell for a cash sum you could pay the mortgage off and if you have any money left over payoff other debts. There also may be better options so ensure you check your options fully.

Another factor you may wish to take into account is that when selling this way you are typically offered a lot less than the value of the home, usually around 70%. Always consider all of the terms and conditions before you go ahead and sign your home over to a company.