SALE AND RENT BACK RULES MUST NOW BE PRIORITISED
Today’s repossession figures highlight the need for the UK Government to act on regulating the housing’s sale and rent back market says the SNP Treasury spokesperson Stewart Hosie MP.
The Office of Fair Trading recently completed a 6 month investigation in to the market and called for such regulation by the Financial Services Authority.
Mr Hosie said:
“Although the number of repossessions are fewer than had been predicted, there is no doubt that these figures are of great concern.
“These are not just statistics, but peoples homes and lives, and so the urgency of reducing the risk of repossession in the current economic climate is all the more stark.
”I am pleased that the Scottish Government have given this situation such priority and has already increased funding for the Home Owners Support Fund to help those who cannot access support anywhere else to stay in their homes through the Mortgage to Rent and Mortgage to Shared Equity schemes.
“More and more people will be turning to sale and rent back to stay in their homes and avoid repossession.
“It is therefore vital, to stop people being ripped off or put out of their homes, that this market is regulated as soon as possible.
“The UK Government response has been disappointing to date. Regulating sale and rent back would protect people who are vulnerable now. The process must be fast tracked.
“It is simply unacceptable that vulnerable home owners should be left at risk by the UK Government when the OFT have already set out the solution.”