subject: Watch for Your Agreed Tenancy When You Sell and Rent Back Your Home [print this page] Watch for Your Agreed Tenancy When You Sell and Rent Back Your Home
It can be a good idea for you to sell and rent back your home. You can make it so that you can pay lower rent payments on a property than what your mortgage payments would be worth. This can be through the use of an agreed tenancy that has been created between you and the company that you are working with for your sale and rent back needs. The process that you will use to sell and rent back your home will work with a particular type of process though.
The agreed tenancy refers to the amount of time that you will be able to live in your property for when you sell and rent back your home. It is a time period that will allow you to do one of two things. You can consider staying in your home and continuing to handle rent payments or you can simply move out of your home after a period of time and get into a new property that may be cheaper than what you originally had.
An agreed tenancy will be able to work for as long as you want it to. There are two ways how an agreed tenancy will be broken off. It can be broken off in the case that you end up failing to take care of your monthly rent payments. It can also be broken off if you move out of your property and go into a new one that does not work with an agreed type of tenancy plan but with your own mortgage payments.
Your agreed tenancy should be one that will last for years. It will last for at least five years. This is a standard that has been set up by the Financial Services Authority. The FSA uses this standard to make sure that no sell and rent back provider kicks a person out of one's home shortly after getting into a sell and rent back plan. This is done as a means of making sure that you will be safe and secure in your property after you sell and rent back your home.
You may be able to extend this agreed tenancy after the five year period ends. This is a convenient thing to do in the event that you are interested in staying in your property. All agencies work with their own standards for agreed tenancy extensions so you should watch for this when getting into a sell and rent back plan.
You should also watch out for what can happen when you are no longer in your agreed tenancy. The company that you sell and rent back your home with will have the right to evict you from your property after this time period ends. The company can do so as a means of making it so that it will be able to focus on using the land that your property is on for other things that might be beneficial or profitable to that company. Be sure to watch for this risk in a sell and rent back plan.
In summary an agreed tenancy can be a helpful thing to get into when yousell and rent back your home. It will be easy for you to be able to keep from having to deal with being kicked out of your property right after getting into a sell and rent back agreement. It is also something that can work for years. You should at least be very careful when your agreed tenancy period ends because of the risk that is involved with you possibly being evicted from your property.
