Regulating sale and rent back to save homeowners billions

Treasury plans to let the Financial Services Authority (FSA) regulate the sale and rent back sector could save consumers up to £1.4 billion over a 10-year period. Regulation could offer consumers considerable savings because the prices some sale and rent back firms offer are ‘significantly below what would be offered in a functioning market.’ Anecdotal evidence indicates that some firms are buying homes for less than 50 per cent of their market value.