The UK’s New Rules against Rogue Sale and Rent-Back Companies
From July 1st 2009, the FSA took the first step towards more effectively controlling cash property buyer companies, with a view to better combat loopholes exploited by rogue sale and rent back firms.
Under the new rules, firms will have to assent to the FSA’s code of principles, and also apply for a license to continue training.
A survey by a British governmental organization last year concluded that almost half of all Brits surveyed had no idea that Sale and Rent Back firms were unregulated in the market, with the power to evict their tenants a few short months into their rent.