The Rent-First Model sounds like a clever shortcut to homeownership.
You rent first, buy later—simple, right?
But for many buyers, especially under Rent-to-Buy and Shared Ownership schemes, the dream turns into a drain on savings.
These models look affordable but often hide costs, uncertainty, and legal limits that stop buyers from ever owning their home outright.
At Purifico Property Services, we’ve seen the pattern—and built a better structure called the Assisted Purchase Model, designed to protect buyers from the pitfalls of rent-first schemes.
The Problems with Rent-First and Rent-to-Buy
On paper, Rent-to-Buy seems perfect: pay rent while you save for a deposit.
In reality, most buyers find the rent is too high to save much, and the property price rises faster than they can keep up.
Common problems include:
No fixed return or credit.
Many Rent-to-Buy plans don’t clearly state how rent translates into equity. You pay more rent, but get little ownership.No financial reserve.
When something goes wrong—tenant arrears, maintenance, or missed payments—there’s no buffer. Costs hit the buyer directly.Weak legal protection.
Most rent-first or Rent-to-Buy contracts are simple tenancy agreements, not legally binding deeds. That means if the seller pulls out, you lose your position and money.Price risk.
By the time your “option to buy” arrives, the market may have moved, and you might not qualify for a mortgage on the new value.
That’s why so many Rent-to-Buy tenants stay tenants. The numbers rarely add up.
Shared Ownership: Shared Cost, Shared Control
Shared Ownership schemes promise a way to “own part of your home.”
You buy 25–75% of a property and rent the rest from a housing association.
But here’s the catch:
You pay both rent and a mortgage.
You can’t easily sell or sublet without permission.
You still pay 100% of the maintenance, even if you only own part.
Staircasing (buying more shares) often gets more expensive with time.
So while it helps some buyers start, many find themselves stuck with high outgoings and limited flexibility.
The Assisted Purchase Model: A Smarter Alternative
At Purifico Property Services, we created the Assisted Purchase Model to fix what Rent-First, Rent-to-Buy, and Shared Ownership get wrong.
It’s a structured, cash-flow tested model where ownership builds safely over time.
Here’s how it works:
Rent Stress Test.
Every property must pass a test proving rent covers the mortgage, management, reserve, and fixed facilitator return.
If the rent doesn’t work, we don’t proceed.Fixed 10% Annual Return.
Instead of unclear profit shares, the Facilitator (Purifico) earns a fixed 10% per annum on the supported mortgage balance.2-Month Reserve.
Each property maintains a two-month mortgage reserve to protect payments during vacancies or arrears.Legal Deed, not a basic contract.
The structure is executed as a Deed and supported by a Unilateral Notice, securing both sides without affecting mortgage compliance.Professional Management.
Purifico collects rent, manages insurance, and reports monthly, so every penny is traceable.
The result: predictable payments, protected ownership, and a clear path to full control.
The Assisted Purchase Model: A Smarter Alternative
At Purifico Property Services, we created the Assisted Purchase Model to fix what Rent-First, Rent-to-Buy, and Shared Ownership get wrong.
It’s a structured, cash-flow tested model where ownership builds safely over time.
Here’s how it works:
Rent Stress Test.
Every property must pass a test proving rent covers the mortgage, management, reserve, and fixed facilitator return.
If the rent doesn’t work, we don’t proceed.Fixed 10% Annual Return.
Instead of unclear profit shares, the Facilitator (Purifico) earns a fixed 10% per annum on the supported mortgage balance.2-Month Reserve.
Each property maintains a two-month mortgage reserve to protect payments during vacancies or arrears.Legal Deed, not a basic contract.
The structure is executed as a Deed and supported by a Unilateral Notice, securing both sides without affecting mortgage compliance.Professional Management.
Purifico collects rent, manages insurance, and reports monthly, so every penny is traceable.
The result: predictable payments, protected ownership, and a clear path to full control
Real Example: Rent-to-Buy vs Assisted Purchase
Case A – Rent-to-Buy
A buyer rents a property at £1,200 a month expecting to buy it later.
But only £100/month is credited toward ownership.
After three years, they’ve paid £43,200 but built just £3,600 in credit—and the property’s price has risen by £25,000.
Case B – Purifico Assisted Purchase
Rent is £1,100, and the cash flow is clear:
Mortgage £572.61
Management 7%
Reserve £120
Facilitator return fixed at 10%
All funds go through a managed client account, backed by a legal deed.
No confusion, no hidden rules—just structure and visibility.
Why Structure Matters
Unclear rent-first plans leave buyers exposed to rising prices, poor contracts, and zero backup.
The Assisted Purchase Model protects buyers by ensuring rent, returns, and reserves are all planned in advance.
That means your rent doesn’t vanish into thin air—it works toward stability and ownership.
Conclusion
The Rent-First, Rent-to-Buy, and Shared Ownership models all promise easy entry but rarely deliver lasting results.
Without fixed terms, reserves, or legal backing, most buyers end up paying more for less.
With Purifico’s Assisted Purchase Model, every figure is tested, every payment tracked, and every outcome secured.
Don’t rent and hope.
Own with structure.
📅 Book your SPV-Assist consultation today
See if your target property passes the Rent Stress Test.
