Right to buy’ or ‘Right to Acquire’ are schemes that allows council and housing association tenants to buy the house they have been living in usually at a significant discount.
Depending on your eligibility, the discount can be several thousands of pounds and can reach up to 70% of the value of the property. There are limits on the discount which is currently capped at £80,900 for properties outside London. There will usually be a period after buying the property where, if you sell the property, you will have to pay back all or part of the discount. Ask your council for more information if you are likely to sell the property within a short period of buying it.
Many tenants have seen that this is a good way to buy their first home either to live in permanently with the security that they will never be required to leave the property or to have as a long-term investment as the first step on the property ladder.
Inheriting a council tenancy
Inheriting a council tenancy now has limits – the tenancy can be passed on only once. If for example Mr and Mrs Smith were joint tenants but Mr Smith passes away, the tenancy can be passed to Mrs Smith but then when Mrs Smith passes away, the tenancy cannot be passed on again. This has caused many families to lose a home that they regarded as theirs because of the previous ability to pass on a tenancy multiple times. Buying the property guards against this.
How do I begin?
Local Authorities have information on how to apply to buy your home. Details for our nearest councils can be found below:
How can Waldrons help?
When the council accepts your offer to buy the property, Waldrons will guide you through the process including checking the legal documents and ensuring that you legally own the property at the end. If you are having a mortgage, we will also deal with that and we can usually represent your lender as well, limiting the costs to you.
How much will it cost?
As you will likely be a first time buyer, you will qualify for any discounts that we offer for first time buyers. Call us today for a personalised estimate.