Consumer champions are warning homeowners with financial problems about property speculators who offer a way to avoid repossession with lease option deals.
The Financial Services Authority (FSA) is drafting guidelines warning homeowners about some unscrupulous companies that fail to deliver their promises to stop repossessions or ease their financial problems.
Lease options are a controversial property investment tool favoured by speculators looking for below market value deals. Continue reading FSA to Warn Homeowners About Misleading Lease Option Deals
I listened to a programme on Radio 5 Live a few days ago that investigated how “Property Investor and Guru” Phil Martin had left a couple close to bankruptcy after agreeing a lease option on their property.
In a nutshell he agreed to take an option to buy the property at a future date and pay their mortgage until he bought it. Not only did he fail to make the mortgage payments but he rented the property to a tenant who didn’t pay the rent and can only be evicted through the usual slow legal process!
People sometimes ask me if our Rent to Buy scheme is a “lease option deal” under a different name. Continue reading Is Rent to Buy Just Another Dodgy Lease Option Scheme?
Housing minister Grant Shapps has publically backed a web site advertising rent-to-buy homes.
The scheme seems to promote lease option purchases that are popular in the US and Australia but rarely seen in the UK.
The web site – www.tryitbuyitproperty.com – matches homeowners who have problems selling with potential buyers who cannot raise a mortgage. Continue reading Housing minister backs rent-to-buy lease options web site