Right to Buy involves the tenant of a council property who has the right to buy that property and in most cases, they will qualify for a significant discount.
Right to Buy requirements
You have to be a tenant with a public sector landlord, for example your local council, for at least three years before you can apply to buy your home.
Right to Buy discounts
The level of the discount you receive depends on how long you have lived in the property, the type of property, and the value of the property. For example, for houses, you can get up to 35% discount if you have been a public sector tenant for 3 years.
To find out how much discount you are eligible for, use the Government's Right to Buy calculator here.
Right to Buy and Selling
If you want to sell your property and it is within 5 years of owning the property you may have to repay some of the discount.
You are able to sell your home at any time, but if you sell your home within the first five years, the landlord has the right to ask for repayment of all or part of the discount. After five years, you can sell the property without repaying any of the discount you received. The amount you pay back also depends on the value of your home when you sell it.
If you sell the property within 10 years, you will first need to give your landlord or social landlord first refusal to purchase the property and they have 8 weeks to agree to purchase the property.
The sale price will be the agreed market value of the property and if it can’t be agreed then a District value will advise how much the property is worth.
To get the ball rolling with buying a house, get a quick, instant conveyancing quote today.