Regulating sale and rent back to save homeowners billions

Regulating sale and rent back to save homeowners billions



Treasury plans to let the Financial Services Authority (FSA) regulate the sale and rent back sector could save consumers up to £1.4 billion over a 10-year period. Regulation could offer consumers considerable savings because the prices some sale and rent back firms offer are ‘significantly below what would be offered in a functioning market.’ Anecdotal evidence indicates that some firms are buying homes for less than 50 per cent of their market value.