Council house mortgage / Right to buy mortgage for council tenant
Other than the usual mortgages available to home buyers, council
house tenants now have the right to purchase their property under
the 'right to buy' scheme introduced by the British government.
Under this scheme, council tenants have the option to purchase the
property in which they reside from a local authority, a non-charitable
housing association or a housing action trust.
The right to buy scheme was first introduced in 1980, with the
main aim of offering everyone the opportunity to own a home and
promote social cohesion, well-being and self-dependence in the UK.
This scheme has since helped nearly 1.5 million council tenants
in England to own their own homes, with ongoing sales under the
scheme now running at around 40,000 a year.
Most council tenants have the right to buy their homes. However,
to qualify you must:
- Be the legal tenant of the property you wish to purchase
- Have been a tenant of this council or another 'right To buy'
landlord for at least two years
You will not have the right to buy if you live in:
- 'Sheltered housing' for the elderly, disabled or handicapped
- A dwelling which is not particularly suitable for the elderly
and you are an elderly person
Often the homes can be bought at a discount or reduced rate, proportional
to the length of occupancy - the rent that has been previously paid
will be taken into consideration as a 'deposit'. The amount of discount
thus depends on how long you have been a tenant, and the type of
dwelling in question. For example, for houses, the discount after
two years is 32%, with an additional 1% for every extra year up
to a maximum of 60%. For flats, the discount after two years is
44% with an additional 2% for every extra year, up to a maximum
of 70%.
Under right to buy legislation, properties are not offered at the
open market value, but at a discount, thus, if the property is re-sold
within a three-year period, some or all of the discount will have
to be repaid to the council.
We are specialist right-to-buy mortgage brokers. We can arrange
a council house mortgage or help you buy your housing association
home. We offer free, professional advice in the strictest confidence.
Our experienced advisors can arrange the right type of mortgage
for your individual circumstances.
So, for a fast, right-to-buy mortgage quote, click on the link
below and see what we can do for you!
Click
here for online right-to-buy mortgage quote uk
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