When you find yourself in a financial crisis, selling and renting back your property may be an easy solution in the most desperate of times. Even if your home is being foreclosed on, this is a viable option. Selling your property and renting it back allows you to access cash tied up in your property without even having to leave the place you have made your home. Below is an outline of the procedures involved with selling your home and renting it back.
Why Sell and Rent Back
When deciding that the best option for you is to sell and rent back your home you must first find property company that is familiar with how the process and claims all work. Many property companies do not take part in the sell and rent back game as there are certain regulations involved. Once you find a company, it is important to know that the company will almost always take care of the legal and administrative fees for you.
Selling your property and renting it back is an ideal solution for many different situations. The first situation would be when you find your home being foreclosed on. One benefit of the sell and rent back option in this scenario is that specialized representatives are hired by the company you are working with in order to sell your home as fast as possible. Another benefit in this scenario is that you receive some cash tied up in your home and when you rent your property back, the payments are almost always lower than what your mortgage payment was when you owned the property. Not only can you keep your home, but the financial company you hired to assist you can also provide advice on how to delay the repossession process if your home is not selling. The financial company will also ensure that the entire process is completed before the eviction is finalized leaving you worry free.
Another scenario in which sell and rent back of your property works in when you are planning to move overseas. When visas have been granted and your new home awaits but your old home has not sold, it can be tricky to navigate the correct path. By selling the house and renting it back early on in the move, your transition can be seamless with no worries as to what to do about your unsold home.
A third scenario in when a couple goes through a divorce. During the divorce, one person may decide they still want to live in the house they made a home but cannot afford the mortgage payment. By selling the home and renting it back, the monthly payment decreases allowing for a single person to maintain payments on the property and not going broke.
Although the sell and rent back of your property solution is not ideal for everyone, it can be a much needed break for certain individuals. Whether you just need to free up some equity in your home, or going through a divorce and want to keep your property at a lower rate, or moving overseas and need to sell your home quickly; the sell and rent back solution can help you in any of these scenarios. Just remember to find a financial company that regularly deals with selling and renting back to aid you during the process. Also remember, if you find that your financial situation has improved, the rent back method allows for you to buy your property back in full ensuring that you can maintain the house you made into a home.