NLA launches sale and rent back consultation

News Category: Industry News

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The National Landlords Association (NLA) is asking private residential landlords to contribute options to it new draft code of practice for the burgeoning sale and rent back market.

The code has been drawn up in response to predictions that millions of Britons will opt for the schemes this year as they struggle to meet higher mortgage repayments, with the NLA claiming that it "places the protection of vulnerable consumers at its heart".

David Salusbury, chairman of the NLA, said: "Far from being an alternative to the many equity release products aimed at older people, sale and rent back offers flexible tenure for those can no longer afford the costs of home ownership.

"For some, becoming tenants will be a temporary stop-gap while they get their finances back in order. For others, they will reap the benefits - including cost - of living in rental accommodation."

Submissions to the NLA must be made before August 31st.

Sale and rent back schemes offer homeowners who cannot make repayments the opportunity to sell their home and remain living in it as a tenant, with the buyer acting as their landlord.

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