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Advice Urgently Needed Sold To Rent Back!
mel23
Posts: 13 Forumite
Has anybody been in this same situation that can offer advice urgently??
We originally purchased our home in 1999. In 2006 due to a change in circumstances and drop in income and having explored many options, we decided we would sell to a company to rent back, this way we could stay in our home and reduce our outgoings. As part of the agreement and as stated in the contract (rider), we were given a buy back option over a 5 year period, along with an agreed rent and the option to stay on as long as we liked whether we bought back or not beyond the 5 year period.
Just 2 years on we have received a letter from the LPA receivers, advising us they have been appointed to deal with all aspects of the property management. We have contacted them in regards to our situation, but have been told no decision will be made or whether we may have any rights to stay or not until they have seen any paper work we have. We have never been given a tenancy agreement as such, as I pointed out all the information regarding renting and buy back option was included in the contract that was signed when the house was sold.
We have always paid our rent and are sending proof of this with copies of all our documentation regarding the sale, but realistically I have no idea as to where we may or may not stand.
I expect there are other people out there who have been in this situation who I hope can offer us some advice.
Thanks in advance.
We originally purchased our home in 1999. In 2006 due to a change in circumstances and drop in income and having explored many options, we decided we would sell to a company to rent back, this way we could stay in our home and reduce our outgoings. As part of the agreement and as stated in the contract (rider), we were given a buy back option over a 5 year period, along with an agreed rent and the option to stay on as long as we liked whether we bought back or not beyond the 5 year period.
Just 2 years on we have received a letter from the LPA receivers, advising us they have been appointed to deal with all aspects of the property management. We have contacted them in regards to our situation, but have been told no decision will be made or whether we may have any rights to stay or not until they have seen any paper work we have. We have never been given a tenancy agreement as such, as I pointed out all the information regarding renting and buy back option was included in the contract that was signed when the house was sold.
We have always paid our rent and are sending proof of this with copies of all our documentation regarding the sale, but realistically I have no idea as to where we may or may not stand.
I expect there are other people out there who have been in this situation who I hope can offer us some advice.
Thanks in advance.
0
Comments
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Go to your local CAB office, or take legal advice.0
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You will need to take legal advice I'm afraid. It's not straightforward as some contractual relationships will be taken forward with the assets and others could potentially cease as the entity is dissolved. I can't tell you what those would be in your case.0
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Just want to offer sympathy, sorry to hear what's happened. This is a risk of these schemes.
I'd agree you need to get professional advice.0 -
From CAB:
http://www.citizensadvice.org.uk/index/pressoffice/press_index/press_20090206"We continue to see cases of very severe problems connected to sale and rent back agreements. The consequences when things go wrong can mean people losing both their homes and substantial sums of money. We have seen a number of cases where people in mortgage arrears and facing the threat of repossession have gone ahead with sale and rent back on the understanding this would allow them remain in their home in the longer term, only to find themselves homeless within a year.0 -
it seems very odd that you were not given a tenancy agreement - did you solicitor provide a Deed or a License or something instead ?0
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