Council and housing association property tenants, if eligible, can help secure their home for their family, as well as purchase a property at below the market value.
Local Authority Tenants and some non-charitable Housing Association Tenants have, by law, they right to buy their property provided they meet the certain conditions of the Right To Buy Scheme;
- It must be their only property
- They rent the whole of the property
- They are an eligible tenant
- They have been an eligible tenant for at least 3 years.
An ‘eligible tenant’ is assessed on questions regarding debt problems and the property itself, so it is best to speak to the landlord or take advice from the Government advice service.
The Right of Buy Process
It first needs to be decided whether a tenant is eligible before an initial claim can be submitted. Once eligibility is established, a RTB1 Form is used to make a claim. A solicitor will also need to be instructed, as well as a mortgage advisor if it is being purchased by way of a mortgage.
If the tenant is not eligible
If a tenant does not meet the eligibility criteria for the Right To Buy Scheme, they may still be able to purchase the property through the Right To Acquire Scheme. Again, to see if a tenant is eligible, they should speak to their landlord to check for eligibility and what options are available.
Although tenants will be able to purchase their property at a discounted rate, which can be up to £108,000 depending on where the property is located, if the property is sold for a significant profit within 5 years, any discount must be repaid.
If you would like to speak to one of our expert Conveyancing solicitors ring us on 0333 305 5189 or email us at enquiries@lpropertylawyers.co.uk
