NLA: Sale and rent back 'rogues' a minority

News Category: Industry News

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A small number of rogue landlords have brought the sale and rent back market into shame, it has been suggested.

David Salusbury, chairman of the National Landlords Association (NLA), claimed the majority of landlords who enter sale and rent back schemes with homeowners carry out their work with "professionalism and integrity".

His comments follow today's publication of an Office of Fair Trading (OFT) investigation into sale and rent back schemes, which called for statutory regulation to be enforced by the government and Financial Services Authority.

The OFT report cited sale and rent back deals which were used to take advantage of vulnerable homeowners.

But Mr Salusbury said: "It must be remembered this is not the whole picture."

"A small number of ‘rogue' operators have now brought the entire market under close scrutiny," he added.

John Fingleton, chief executive of the OFT, said statutory regulation is needed to stop the unacceptable behaviour of some sale and rent back operators and to provide better protection for consumers.

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