A further 1.3 million tenants are to be given the right to buy their homes following an agreement between the government, housing associations and the National Housing Federation.
The first sales should begin next year. The agreement means that housing association tenants will be able to buy their homes at the same discounted rates currently offered to council tenants. The government will compensate the associations for the discounts offered and the money raised from the sales will be used to build more homes.
Housing associations will also have the flexibility to replace rented homes with other tenures such as shared ownership. National Housing Federation Chief Executive David Orr said:
This is a great offer for housing association tenants. It is also a great offer for the country, as our proposal means homes sold will be replaced, delivering an overall increase in housing supply.”
Right to Buy has already enabled 2 million families buy their council homes. It is part of a broader home ownership programme designed to enable people to get on the housing ladder. Other initiatives include Help to Buy, which enables buyers get over the problem of raising a deposit.
The government has also announced planning reforms to get more homes built on brownfield sites.
Please contact us if you would like more information about the legal aspects of buying or selling a home.