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Frequently Asked Questions

Why HomeNow?

What does HomeNow do?

HomeNow gives a real boost to renter's ability to get on the housing ladder. HomeNow purchase houses for people who don't have enough money for a typical mortgage deposit. The ideal family home is bought and held on their behalf in our HomeNow fund. The person rents the property from the fund and, after five years, benefits from a third of the increase in value of the property (received via a rent refund). This will contribute towards a deposit, either to purchase the house you have been living in or any other property you wish to move to. On top of sharing the increase in value, our tenants

  1. Choose the property they want to live in - you are not restricted to picking from homes for rent, instead you look at homes for sale
  2. Receive security of tenure - your Assured Shorthold Tenancy agreement is for a period of 5 years, there is no more concern you will be asked to move on just when you have become settled in an area
  3. Receive financial security - your rent is fixed for 5 years. This means you will know what your biggest expense will be for the next 5 years



Why is this needed?

Many people find their rental costs take up so much of their monthly income, it is nearly impossible to save for a deposit required by mortgage lenders. This is commonly referred to as the “Rent Trap”.



Who is it HomeNow can help?

Many people may be in a position to afford the monthly cost of a mortgage, though are currently renting and are unable to save up for the deposit they would need to buy a house. These are some of the people we are looking to help.



How does it work?

How do I know you will sell the house to me?

As well as the Assured Shorthold Tenancy Agreement, you will also sign an Option Agreement. If the house reaches a certain value (one that ensure our investors will receive their investment back - the "Investment Value") this document legally entitles you to purchase the property, should you decide to do so. Only if you decline the offer to buy the property are we then able to offer the property for sale on the open market.



How do you come up with the valuation?

The parties (i.e. you and us) will use all reasonable endeavours to promptly agree the market value of the property. If this has not been agreed within 10 working days of the service of the Option Notice, the matter will be referred to an Expert (being an independent chartered surveyor with at least ten years' experience in valuing properties similar to the property(s) in question and who is a Member or Fellow of the RICS).



What happens if house prices go down?

After 5 years, if the price of the house is lower than the property was originally purchased for, there will be no rent refund distributed to you. In this instance, and shortly before the end of your 5 year tenancy, we will consult with our investors and assess the ability of our fund to extend your tenancy. If our investors agree to an extension there will be a new tenancy agreement (with a new rent figure fixed for the duration of the new agreement) for a period of time that it is hoped will allow the property value to increase and for us to then share that increase with you via a rent refund. Alternatively, at the end of the 5 year tenancy you are of course free to leave the property.



What happens if the house price has not increased enough after 5 years?

Where the property value is agreed to be below the Investment Value (see "What happens if house prices go down?"), we will consult with our investors and assess the ability of our fund to extend your tenancy. If our investors agree to an extension you will be given the option to stay in the house for an additional period of time, until the house has increased sufficiently in value for our investors to recoup their initial investment. This will be a new agreement and your rent will be reviewed and fixed for the same period as the new Assured Shorthold Tenancy agreement.



Why does this need to be a 5 year term?

HomeNow investors have a minimum investment period of 5 years. Additionally, historical data suggests 5 years is the median amount of time to ensure you, the tenant, generates a minimum 5% deposit.



Am I eligible?

Who is BOMAD Investments Limited?

HomeNow is the trading name of BOMAD Investments Limited. BOMAD Investments Limited is registered with the Financial Conduct Authority as an Alternative Investment Fund Manager. BOMAD Investments Limited manages the investment fund that ultimately buys the property you will move into.



Is BOMAD Investments Limited regulated by the Financial Conduct Authority?

Yes, BOMAD Investments Limited is authorised and regulated by the Financial Conduct Authority (No. 822295). Our full scope of permissions are listed on the FCA's Financial Services Register. You can find more information on our permissions here



What happens if HomeNow goes into liquidation or falls into receivership or administration?

Your property is not owned by HomeNow. It is owned by a separate company (owned by our investors) specifically set up to buy your property. We (HomeNow) do not have any recourse to the assets or income streams of this ring fenced company. You will be able to continue to rent your property.



Choosing the property

What does HomeNow do?

HomeNow gives a real boost to renter's ability to get on the housing ladder. HomeNow purchase houses for people who don't have enough money for a typical mortgage deposit. The ideal family home is bought and held on their behalf in our HomeNow fund. The person rents the property from the fund and, after five years, benefits from a third of the increase in value of the property (received via a rent refund). This will contribute towards a deposit, either to purchase the house you have been living in or any other property you wish to move to. On top of sharing the increase in value, our tenants

  1. Choose the property they want to live in - you are not restricted to picking from homes for rent, instead you look at homes for sale
  2. Receive security of tenure - your Assured Shorthold Tenancy agreement is for a period of 5 years, there is no more concern you will be asked to move on just when you have become settled in an area
  3. Receive financial security - your rent is fixed for 5 years. This means you will know what your biggest expense will be for the next 5 years



Why is this needed?

Many people find their rental costs take up so much of their monthly income, it is nearly impossible to save for a deposit required by mortgage lenders. This is commonly referred to as the “Rent Trap”.



Who is it HomeNow can help?

Many people may be in a position to afford the monthly cost of a mortgage, though are currently renting and are unable to save up for the deposit they would need to buy a house. These are some of the people we are looking to help.



What makes HomeNow different?

Who is BOMAD Investments Limited?

HomeNow is the trading name of BOMAD Investments Limited. BOMAD Investments Limited is registered with the Financial Conduct Authority as an Alternative Investment Fund Manager. BOMAD Investments Limited manages the investment fund that ultimately buys the property you will move into.



Is BOMAD Investments Limited regulated by the Financial Conduct Authority?

Yes, BOMAD Investments Limited is authorised and regulated by the Financial Conduct Authority (No. 822295). Our full scope of permissions are listed on the FCA's Financial Services Register. You can find more information on our permissions here



What happens if HomeNow goes into liquidation or falls into receivership or administration?

Your property is not owned by HomeNow. It is owned by a separate company (owned by our investors) specifically set up to buy your property. We (HomeNow) do not have any recourse to the assets or income streams of this ring fenced company. You will be able to continue to rent your property.



Living in the property 

Do I sign a standard Assured Shorthold Tenancy (“AST”) Agreement?

Yes, you will sign an AST Agreement. The main difference is it will be for a 5 year term instead of the usual 1, 2 or even 3 years you will be used to seeing. From your perspective it provides security of tenure and, as the monthly amount you pay is fixed for the 5 year term , you can manage your budget knowing there will be no unforeseen increases in rental payments.



Do I own the property?

No, for the 5 year term of the tenancy agreement you are a tenant and you do not own any part of the property. It is at the end of this 5 year term we share the increase in value with you (via a rent refund). You can then use your share as a contribution towards the mortgage deposit to either buy the property you have been living in for 5 years, or buy another property of your choice.



Can I make modifications to the property?

Yes, with our permission we would be happy for you to make cosmetic modifications. We want you to view this as your home, so you can paint the walls, change the carpet and nail up your favourite pictures, no problem at all. These are what we call aesthetic changes. The only things you can’t do are structural changes, changing the kitchen or building an extension. Building work can be problematic and doesn’t always go to plan. The good news is you shouldn’t really need to make structural changes because we only buy homes where you can move in straight away.



Who is responsible for paying for any repairs?

As per the Assured Shorthold Tenancy Agreement, we are responsible for repairs to certain items including: - electrical wiring - gas pipes and boilers - heating and hot water - chimneys and ventilation - sinks, baths, toilets, pipes and drains - the structure and exterior of the building, including walls, stairs and bannisters, roof, external doors and windows. It is your responsibility to notify us as soon as you notice any issue that requires our attention. However, in return for us sharing the increase in house price with you, we do expect you to look after the property. If you decide you would like us to carry out any maintenance to the property (including to the above listed items), we reserve the right to deduct the cost from your share of the increase in house value. Before we buy any property, it will undergo a survey and so we will be very aware of potential issues that may incur a cost over the 5 year tenancy period (and if there are any issues, we would be unlikely to purchase that property). We will also take out buildings insurance to cover any major issues.



Can I have a pet in the property?

Yes.



Buying the house after five years

How do I know you will sell the house to me?

As well as the Assured Shorthold Tenancy Agreement, you will also sign an Option Agreement. If the house reaches a certain value (one that ensure our investors will receive their investment back - the "Investment Value") this document legally entitles you to purchase the property, should you decide to do so. Only if you decline the offer to buy the property are we then able to offer the property for sale on the open market.



How do you come up with the valuation?

The parties (i.e. you and us) will use all reasonable endeavours to promptly agree the market value of the property. If this has not been agreed within 10 working days of the service of the Option Notice, the matter will be referred to an Expert (being an independent chartered surveyor with at least ten years' experience in valuing properties similar to the property(s) in question and who is a Member or Fellow of the RICS).



What happens if house prices go down?

After 5 years, if the price of the house is lower than the property was originally purchased for, there will be no rent refund distributed to you. In this instance, and shortly before the end of your 5 year tenancy, we will consult with our investors and assess the ability of our fund to extend your tenancy. If our investors agree to an extension there will be a new tenancy agreement (with a new rent figure fixed for the duration of the new agreement) for a period of time that it is hoped will allow the property value to increase and for us to then share that increase with you via a rent refund. Alternatively, at the end of the 5 year tenancy you are of course free to leave the property.



What happens if the house price has not increased enough after 5 years?

Where the property value is agreed to be below the Investment Value (see "What happens if house prices go down?"), we will consult with our investors and assess the ability of our fund to extend your tenancy. If our investors agree to an extension you will be given the option to stay in the house for an additional period of time, until the house has increased sufficiently in value for our investors to recoup their initial investment. This will be a new agreement and your rent will be reviewed and fixed for the same period as the new Assured Shorthold Tenancy agreement.



Why does this need to be a 5 year term?

HomeNow investors have a minimum investment period of 5 years. Additionally, historical data suggests 5 years is the median amount of time to ensure you, the tenant, generates a minimum 5% deposit.



What if circumstances change?

Do I sign a standard Assured Shorthold Tenancy (“AST”) Agreement?

Yes, you will sign an AST Agreement. The main difference is it will be for a 5 year term instead of the usual 1, 2 or even 3 years you will be used to seeing. From your perspective it provides security of tenure and, as the monthly amount you pay is fixed for the 5 year term , you can manage your budget knowing there will be no unforeseen increases in rental payments.



Do I own the property?

No, for the 5 year term of the tenancy agreement you are a tenant and you do not own any part of the property. It is at the end of this 5 year term we share the increase in value with you (via a rent refund). You can then use your share as a contribution towards the mortgage deposit to either buy the property you have been living in for 5 years, or buy another property of your choice.



Can I make modifications to the property?

Yes, with our permission we would be happy for you to make cosmetic modifications. We want you to view this as your home, so you can paint the walls, change the carpet and nail up your favourite pictures, no problem at all. These are what we call aesthetic changes. The only things you can’t do are structural changes, changing the kitchen or building an extension. Building work can be problematic and doesn’t always go to plan. The good news is you shouldn’t really need to make structural changes because we only buy homes where you can move in straight away.



Who is responsible for paying for any repairs?

As per the Assured Shorthold Tenancy Agreement, we are responsible for repairs to certain items including: - electrical wiring - gas pipes and boilers - heating and hot water - chimneys and ventilation - sinks, baths, toilets, pipes and drains - the structure and exterior of the building, including walls, stairs and bannisters, roof, external doors and windows. It is your responsibility to notify us as soon as you notice any issue that requires our attention. However, in return for us sharing the increase in house price with you, we do expect you to look after the property. If you decide you would like us to carry out any maintenance to the property (including to the above listed items), we reserve the right to deduct the cost from your share of the increase in house value. Before we buy any property, it will undergo a survey and so we will be very aware of potential issues that may incur a cost over the 5 year tenancy period (and if there are any issues, we would be unlikely to purchase that property). We will also take out buildings insurance to cover any major issues.



Can I have a pet in the property?

Yes.



Who is HomeNow?

Who is BOMAD Investments Limited?

HomeNow is the trading name of BOMAD Investments Limited. BOMAD Investments Limited is registered with the Financial Conduct Authority as an Alternative Investment Fund Manager. BOMAD Investments Limited manages the investment fund that ultimately buys the property you will move into.



Is BOMAD Investments Limited regulated by the Financial Conduct Authority?

Yes, BOMAD Investments Limited is authorised and regulated by the Financial Conduct Authority (No. 822295). Our full scope of permissions are listed on the FCA's Financial Services Register. You can find more information on our permissions here



What happens if HomeNow goes into liquidation or falls into receivership or administration?

Your property is not owned by HomeNow. It is owned by a separate company (owned by our investors) specifically set up to buy your property. We (HomeNow) do not have any recourse to the assets or income streams of this ring fenced company. You will be able to continue to rent your property.



Refer a friend

Do I sign a standard Assured Shorthold Tenancy (“AST”) Agreement?

Yes, you will sign an AST Agreement. The main difference is it will be for a 5 year term instead of the usual 1, 2 or even 3 years you will be used to seeing. From your perspective it provides security of tenure and, as the monthly amount you pay is fixed for the 5 year term , you can manage your budget knowing there will be no unforeseen increases in rental payments.



Do I own the property?

No, for the 5 year term of the tenancy agreement you are a tenant and you do not own any part of the property. It is at the end of this 5 year term we share the increase in value with you (via a rent refund). You can then use your share as a contribution towards the mortgage deposit to either buy the property you have been living in for 5 years, or buy another property of your choice.



Can I make modifications to the property?

Yes, with our permission we would be happy for you to make cosmetic modifications. We want you to view this as your home, so you can paint the walls, change the carpet and nail up your favourite pictures, no problem at all. These are what we call aesthetic changes. The only things you can’t do are structural changes, changing the kitchen or building an extension. Building work can be problematic and doesn’t always go to plan. The good news is you shouldn’t really need to make structural changes because we only buy homes where you can move in straight away.



Who is responsible for paying for any repairs?

As per the Assured Shorthold Tenancy Agreement, we are responsible for repairs to certain items including: - electrical wiring - gas pipes and boilers - heating and hot water - chimneys and ventilation - sinks, baths, toilets, pipes and drains - the structure and exterior of the building, including walls, stairs and bannisters, roof, external doors and windows. It is your responsibility to notify us as soon as you notice any issue that requires our attention. However, in return for us sharing the increase in house price with you, we do expect you to look after the property. If you decide you would like us to carry out any maintenance to the property (including to the above listed items), we reserve the right to deduct the cost from your share of the increase in house value. Before we buy any property, it will undergo a survey and so we will be very aware of potential issues that may incur a cost over the 5 year tenancy period (and if there are any issues, we would be unlikely to purchase that property). We will also take out buildings insurance to cover any major issues.



Can I have a pet in the property?

Yes.



Other

What does HomeNow do?

HomeNow gives a real boost to renter's ability to get on the housing ladder. HomeNow purchase houses for people who don't have enough money for a typical mortgage deposit. The ideal family home is bought and held on their behalf in our HomeNow fund. The person rents the property from the fund and, after five years, benefits from a third of the increase in value of the property (received via a rent refund). This will contribute towards a deposit, either to purchase the house you have been living in or any other property you wish to move to. On top of sharing the increase in value, our tenants

  1. Choose the property they want to live in - you are not restricted to picking from homes for rent, instead you look at homes for sale
  2. Receive security of tenure - your Assured Shorthold Tenancy agreement is for a period of 5 years, there is no more concern you will be asked to move on just when you have become settled in an area
  3. Receive financial security - your rent is fixed for 5 years. This means you will know what your biggest expense will be for the next 5 years



Why is this needed?

Many people find their rental costs take up so much of their monthly income, it is nearly impossible to save for a deposit required by mortgage lenders. This is commonly referred to as the “Rent Trap”.



Who is it HomeNow can help?

Many people may be in a position to afford the monthly cost of a mortgage, though are currently renting and are unable to save up for the deposit they would need to buy a house. These are some of the people we are looking to help.