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The repurchase sale consists of selling its property while retaining the option of redemption: the seller will be able to recover his property by paying the price of the property and reimbursement of expenses. This type of sale, little known in France, is subject to very specific rules.

The principle of the repurchase sale of real estate

The repurchase sale is concluded througha very specific contract signed in front of a notary, and which allows you, as a seller of a property, to benefit from a redemption: So you decide in some ways to transfer ownership of your property from temporary way, with the aim of buying it later. You will therefore have to pay the amount corresponding to the price of the property to which will be added the amount of the expenses, in compensation.

Although you are no longer the owner of your property for a certain period of time, you will still be able to live there by signing an occupancy agreement with the investor. In return, you will have to pay him a monthly occupancy allowance, the equivalent of a rent.

The repurchase sale is of interest if you are in debt and want to preserve your wealth and your standard of living. Indeed, the period of transfer of ownership will allow you to clear your financial situation while staying in your home, and you can buy it once your difficulties resolved.

The preparation and implementation of the repurchase sale of real estate

To be able to sell your property to repurchase, you will have to either call directly a notary and an investor, or to a specialized company which will put you in relation with an investor.

If you use a specialized company, it will study your file and make sure that the repurchase sale is adapted to your situation. To do this, she will look at your level of debt and compare it to the dollar value of your home, to ensure that you will be able to repay your credit.

If your file is accepted, you will receive a proposal including:

  • The duration of the repurchase which should be between 6 months and 5 years.
  • The monthly amount of the occupancy allowance you will pay.
  • The amount of the purchase price of your property.

If you accept the proposal, the company will find an investor. Once the investor found, the case will be concluded before the notary for the signing of the deed, from which you will be the "tenant" of your property.

The repurchase of the property sold to repurchase

Once your situation clears, you can contract a new loan allowing you to buy your property. To do this, you will have to prove that you have paid all occupancy allowances, and you will not have to subscribe to any other credit.

If you do not exercise your right of redemption on time, know that the investor will become the owner of your property and can give you leave.

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