Did you know that most council tenants can apply to buy their house or flat at a discounted rate? It is commonly referred to as your ‘right to buy.’
Our conveyancing solicitors are here to help you through the process of investing in buy-to-let property and answer your questions.
Looking to buy your council house or flat?
We’re on hand to talk through your questions or provide you with a no-obligation quote.
Guidance for council homeowners
If you wish to apply to buy your council home or flat, you will need to begin the process by writing to your local council or housing association using form RTB1.
Your application will then be accepted or declined within four weeks (eight if you have been with your landlord for less than three years).
If your application is successful, your landlord must offer you an offer within eight weeks if the property you buy is freehold or 12 weeks for leasehold.
Accepting an offer
You have up to 12 weeks to accept your landlord’s offer. If you would like to proceed, you must confirm this in writing.
Your offer will include:
- The purchase price and information on how it was calculated
- The discount applied and again, how it was calculated
- Details of the property and any land included
- Details of any known structural problems
- If the property is a flat or maisonette, the service charge is estimated for the first five years of ownership.
Appointing your solicitor
Once you’ve confirmed you are happy with your offer letter, your landlord will prepare the legal documents and send them to your solicitor, so you need to appoint a conveyancing specialist to act on your behalf. That’s where we come in.
We will check the contract, title and various searches to ensure there are no issues with the property, and once your mortgage offer is issued, the sale can proceed.
We then collect the mortgage money from your lender and any additional funds from you to pay for the property, Land Registry fees, stamp duty and VAT (if any) on your behalf.
On the day of completion, any outstanding rent must be paid alongside the sale price – if you are in arrears, you cannot complete. Your landlord will then end your rent account, and you will become the legal owner of the property.
Arranging a mortgage and survey
If you haven’t already spoken to a mortgage adviser, ask family, friends, or our team of solicitors for a recommendation. You can also talk to your bank or building society.
They will be able to discuss the options available to you and identify the most appropriate product.
You should also commission an independent survey on the property even if you have lived there for years. This will uncover any structural problems. If you need a mortgage, your lender will insist that a survey is done, but this is only to establish its value and protect its investment.
Next steps?
Our conveyancing solicitors are here to help you through the process of investing in buy-to-let property and answer your questions.
Give us a call on 0114 218 4015 or complete our enquiry form. We’re on hand to talk through your questions or provide you with a no-obligation quote.
