Following wide-reaching consultation across the housing and mortgage sectors, the Code places the protection of vulnerable consumers at its heart. More and more people are now facing financial difficulty including so-called ‘payment shock’ and the inability to keep up with their mortgage payments. Ethical sale and rent back could be a way for some struggling homeowners to stay in their homes.
The draft Code can be downloaded in full from www.nlarentback.org.uk.
The Office of Fair Trading has now launched a market study into sale and rent back which is due to complete its work in September. One of the possible outcomes following the OFT market study could be to encourage the development of a consumer code of practice.
Interested parties should submit their views on the draft Code of Practice by 31 August to [email protected]
