Landmark ruling in sale and rent back sector
A judge has today issued a landmark ruling in the sale and rent back sector which could have a major impact in the longer term. The sale and rent back market has become more and more popular as the economy continues to struggle with many homeowners, often in arrears with their mortgages, agree to sell their homes at a discount with the opportunity to rent the property for a predetermined period.
This particular hearing saw a company by the name of Repossession Stopped acquiring the property of a couple in Shrewsbury who had lived there for over 25 years. While the couple in question had behaved impeccably and were on time with their payments, the company which acquired their home had failed to keep up with the mortgage payments and the mortgage provider sought to repossess the property.
Housing charity Shelter took the case to court on behalf of the couple involved and the judge ruled that they could either takeout a mortgage themselves and buy the property or else come to an agreement with the mortgage company to rent the property indefinitely. This is a major ruling for the sector and offers significant protection for those forced to take this controversial route.
Share this..
Related stories
Darling to ask lenders to help cash-strapped homeowners
Relief could be on the way for beleaguered homeowners in the form of new government proposals intended to alleviate the strain of meeting repayments. Under the proposals, lenders would enable homeowners to take a mortgage holiday, during which time they would not be obliged to make repayments for a limited time. It has also been proposed that mortgage providers begin a scheme whereby they buy back...
Read MoreWas the housing market up or down in March?
Conflicting reports on the UK housing market have led to concerns about the quality of housing surveys across the country. Earlier this week we saw the Nationwide report show a 0.9% increase in house prices in March while Friday's Halifax report showed a 1.9% reduction. There is now severe confusion as to which report is correct and how they could be so very different when looking at the same mark...
Read MoreLoophole 'will improve Hips implementation'
A loophole in home information packs (Hips) could accidentally improve their eventual rollout, a property expert has claimed.Miles Shipside, commercial director of online estate agent Rightmove, made the claim about the terms of the controversial initiative's delayed introduction on August 1st.He argued that as sellers are obliged to have "commissioned" a pack to market a property rather than phys...
Read MoreGreen home credentials 'put on standby'
The spread of integrated home entertainment systems will hinder efforts to cut energy consumption in Britain, a new report says.The Energy Saving Trust (EST) believes the proliferation of devices like set-top boxes, laptops, DAB radios and plasma televisions will account for an enormous 45 per cent of all electricity used in UK homes by 2020.Such an expansion will put pressure on efforts to tackle...
Read MoreUK markets take a breather after Royal Bank of Scotland news
As we covered yesterday, the Royal Bank of Scotland is rumoured to be in talks about a potential £4 billion rights issue which will assist the company in reducing its exposure to the UK government asset protection scheme. It would appear that this stark reminder that all is not well in the UK financial sector has caught the attention of UK investors today with the UK market taking a downturn afte...
Read More