‘Sell your home then rent it back’: Property expert in Spain advises pensioners in need of extra cash

A PROPERTY Expert, also known as @crismasfamilia in TikTok, has revealed a strategy that pensioners can use to begin investing in real estate. 

I’m not crazy. This is the investment strategy that I came to tell you about today. “This is the investment strategy I am going to tell you today, and I’m really not crazy,” she said on one of her social media videos. 

There are several options for selling your home, and then continuing to live there, either indefinitely (or 15 or 20 year) depending on the terms you negotiate.

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According to TikToker, it’s a very simple idea: Sell your home, but keep the right to use.

This model is popular in many European countries and is gaining in popularity in Spain. 

Do you still have questions about how the system works?

This means that the owner of the property transfers ownership, but retains his usufruct. He can continue to live and use the property during the agreed period with the new owners.

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The property expert added, “The method of payment is negotiable.” 

Instead of paying the entire amount at once, you can agree to pay 20% up front and a monthly amount in installments.

She concluded, “This is often used by older people in need of money. Retirement doesn’t provide them with enough income to live comfortably. So they sell their house as a bare owner.”