You won't believe this: property firm Gentoo Group is offering offers alternative to 100% LTV mortgage - it has launched a product called 'Genie' which lets customers buy property without a deposit or mortgage!
When I read of Genie, my first though about this new product was: genie in the bottle that makes property buyers' dreams come true - at least to some extent. Gentoo Group's Genie is primarily a home-purchase plan to air first-time buyers and long-term renters. While the product has huge potential, it is currently available only on 60 new-build homes in the North-East. It is understood that the company wants make the product nationwide and eventually use brokers.
Gentoo Group aims to be operating in three more locations by next year, the article by Samuel Date says.
Genie allows buyers to acquire an increasing share in their property through a structured 25-year payment plan. Genie purchasers have the same rights as a traditional homeowner and pay a monthly residency fee which is adjusted every five years.
The residency fee is set to each individual house and increases by 3% every year for the first five years.
The home purchase plan is fully flexible so Genie purchasers can opt out of it at any stage by selling their accumulated shares back to Gentoo or putting the property on the open market.
Read the full article here
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