Faulkner O'Connell - Mortgage and insurance advisors in Swindon

RIGHT TO BUY MORTGAGES IN SWINDON


Here’s an overview of how the Right to Buy scheme works:

  • Eligibility: To qualify for the Right to Buy scheme, tenants must meet certain criteria, including:
    1. Being a secure tenant of a council property or a housing association for a specified period (usually between 3 to 5 years).
    2. The property being their main residence.
    3. Not having any legal issues or arrears with rent payments.
  • Discount: Eligible tenants are entitled to a discount on the market value of the property they wish to purchase. The discount amount varies depending on factors such as the length of the tenancy, the type of property, and its location. In some cases, the longer a tenant has been in the property, the higher the discount they may receive.
  • Purchase Process: Tenants interested in exercising their Right to Buy must apply to their respective council or housing association. The process involves completing an application form, providing necessary documentation, and obtaining a valuation of the property. Once the application is approved, the tenant can proceed with the purchase.
  • Financial Considerations: While the Right to Buy scheme offers significant discounts, tenants should carefully consider the financial implications of homeownership. This includes factoring in additional costs such as mortgage payments, maintenance expenses, and insurance premiums.
  • Rights and Responsibilities: Upon purchasing the property, tenants become homeowners and assume full responsibility for its upkeep and maintenance. They also gain the right to sell or pass on the property in the future.
  • Impact on Housing Stock: The Right to Buy scheme has been subject to debate regarding its impact on the availability of social housing. Critics argue that it has contributed to a reduction in the number of affordable rental properties available, while supporters highlight the benefits of homeownership and asset ownership for tenants.

In summary, the Right to Buy scheme provides eligible tenants with an opportunity to purchase their rented properties at a discounted price, empowering them to achieve homeownership and build equity. However, it’s essential for tenants to carefully consider their financial circumstances and long-term housing needs before pursuing the scheme.

How can we help?

  • If you’re a local authority tenant and want to buy the house you’re living in through the Right to Buy scheme, Faulkner O’Connell can help you find the best mortgage deal.
  • Right to Buy mortgages aren’t different products to standard residential mortgages. You’ll have access to virtually all the same products and lenders will assess you the same way they would another borrower.
  • The amount lenders will be willing to lend and the interest rate you will be charged will depend largely on your loan-to-value ratio.
  • This is determined by the level of discount and any deposit you’re able to provide. Other criteria such as your credit history and current income will also apply.
  • We’ll compare all the Right to Buy mortgages you might be eligible for and support you through the application process from start to finish.
  • We can also help you access Right to Buy mortgages that may not be available by going direct to lenders, so get in touch today and see what we can do for you.

Get clear and concise answers to your questions. Contact us today to schedule a consultation with one of our experienced advisors.