Rent to Buy: Costs and affordability
How much is the rent on Rent to Buy homes?
Rent to Buy houses and apartments are designed to help eligible middle-income renters save towards purchasing a property while living in a property with reduced rent, allowing tenants to save for a deposit while keeping their housing costs manageable.
The rent on homes available under this scheme is typically set at 80% (that’s a 20% subsidised rate) of the local market rate, although the exact cost of renting a Rent to Buy property will vary based on the location and size of the property.
It’s important to note that failure to pay your rent on time or adhere to the terms of your assured shorthold tenancy agreement could result in losing your place in the scheme.
What if I want to purchase my Rent to Buy home?
The scheme is designed to make saving for your dream home easier. With a 20% discount on rent, you can avoid high rental prices giving you extra breathing room to focus on saving for a house or apartment.
If you decide to buy a Rent to Buy home on a Shared Ownership basis, your housing provider will assess what share of the property can be purchased based on an independent financial assessment of what you can afford. Many housing providers even offer personalised savings plans and regular progress check-ins, ensuring you stay on track and work steadily towards your goal of homeownership. As soon as your deposit is saved and you’re approved for a mortgage, you can move forward with buying your home.
Initially, your tenancy will be set for up to two years, but if you need more time to build your deposit savings, your landlord could agree to extend it.
It’s important to note that terms and incentives may vary from development to development. The tenancy can also be ended at any point, subject to the terms of your tenancy agreement and initial fixed terms being spent.
Where should I start my search Rent to Buy homes?
Ready to look for Rent to Buy properties available near you? Visit our property portal to find homes available under this scheme.
Want to learn more about how Rent to Buy works and the eligibility criteria? Our guides and FAQs offer comprehensive information to help you find your path toward homeownership.
Buyer checklist
Although the Rent to Buy scheme doesn’t involve purchasing a home right away, it serves as an excellent stepping stone toward homeownership.
To help you prepare for this exciting milestone, we’ve created a step-by-step guide to simplify the home-buying process.
Helping you move forward with confidence
From starting your homeownership journey to taking the next big step, our collection of resources and FAQs offers valuable insights to help you make informed choices.
