Rent-to-own specialist Keyzy has partnered with Connect adviser network.
Keyzy works by buying a property for a client who cannot get a traditional mortgage and renting it to them for a period of three to seven years.
The monthly payments are in line with market rental, while the client pays up to an additional 25% “converted rent” depending on affordability.
The converted rent works as a savings scheme and helps people to build a virtual deposit while living in the property.
They then have the option to buy the property back at the original purchase price - plus stamp duty and Keyzy’s legal fees.
Simon Groll, co-founder of Keyzy, said: “It has been great to grow and learn with the support of an award-winning network like Connect.
“They have embraced our alternative rent-to-own solution and it has been a pleasure to assist some of their clients who, without Keyzy, would have had no other options available.
“It is the start of a thriving relationship and a real solution for those struggling to buy for the first time, or to step up the property ladder.”
The buyer can benefit from any appreciation in the property, helping them to build their equity whilst living in the property as well as building their deposit.
If they want to buy a different property they can also do so. They can find another buyer for the home during the lease and they can keep all the upside.
They just need to make sure the home is sold at a price equal to or above the original purchase price including Keyzy’s costs. They also get up to 25% of their rental payments back.
Jane Benjamin, director of mortgages at Connect, added: “Keyzy adds something really different for our network members to offer to their clients.
“It is an innovative solution both to help people get onto the property ladder or to make that next move.
“This latest partnership is part of a concerted effort that we make at Connect to give our network members a real edge, by providing access to the widest range both of mainstream and specialist lenders as well as more innovative solutions such as that provided by Keyzy.”
