’sale and rent back’ probed by Office of Fair Trading

May 28, 2008 · Filed Under Your Money · Comments Off 

The Office of Fair Trading (OFT) is to study whether people facing repossession are adequately protected in so-called “mortgage rescue” schemes.

Householders in difficulty are offered a quick sale of their home at a discount by buy-to-let investors and in return become a tenant in the house.

Consumer groups have called for regulation of these schemes, also called “sale and rent back”.

The OFT is aiming to report on the industry by September.

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