Living in debt

You may have come to the point where you in so much debt that you don’t know what to do, you have sold your car, given up luxuries and rarely go out anymore. You may have heard of companies offering schemes which offer to buy your property and rent it to you, at first this may sound perfect since you’ll be freeing up a large amount of money and wont have to move out or disrupt your families life. However there are a few serious things to watch out for..

1. The purchase of your property will usually be much lower than the actual market value, sometimes as much as 15% lower!
2. The lease agreement is usually on a short term basis which offers little security to you, you can expect the agreement to be between 6 and 12 months.

So before you rush ahead thinking this is a great idea and will allow you to continue living in the property on a rent basis you should carefully read into the terms and remember that these companies exist purely to make money.

Date: Monday, January 14th, 2008 at 4:03 pm | Category: Money management | RSS Feed: RSS 2.0 feed.
Leave a response, or trackback from your own site.