Right to Buy

This content applies to England only.

Housing laws vary between England and Scotland. Get advice relating to Scotland

If you are a council tenant, you may be able to get a discount to buy the home you currently rent. This is called the Right to Buy. You may also have kept the Right to Buy if your home has been transferred from the council to a housing association since you moved in. This section explains the discounts that may be available and how they work.

Am I eligible?

Being a council tenant doesn't automatically give you the Right to Buy. You must have been a council, housing association or armed forces tenant (or a combination of these) for a total of at least:

two years if your tenancy started before 18 January 2005
five years if your tenancy started on or after 18 January 2005

Even if this is the case, you may be excluded if:

the property isn't your only or main home
your home isn't self-contained
you live in sheltered housing where services are provided
your home has been designed or adapted for people with special needs
the council has demoted your tenancy or obtained a court order to suspend your Right to Buy because you have behaved antisocially
your home is provided as part of your job (for example, if you are a caretaker).

If your home has been transferred from the council to a housing association since you moved in, you probably still have the Right to Buy. This is called the 'preserved' right to buy.

If you are not sure whether you have the right to buy or the right to acquire, get advice from a Shelter advice centre, Citizens Advice or other advice centre in your area. Use our directory to find one.

Can I afford it?

It may be difficult to keep up with the ongoing expenses of being a homeowner if you have a very low income. Whatever type of scheme you want to buy through, you will need a reasonable income to get a mortgage. Many schemes have a minimum and maximum income level which you will have to meet to be eligible. (Most will not accept people on means-tested benefits or people who can afford to buy on the open market.)

If you don't have the cash to buy your home, you will have to get a mortgage from a bank or building society - councils no longer provide mortgages.

How much is the discount?

If you apply for the right to buy, a valuer will assess what the property is worth and you will be offered the opportunity to buy it at a reduced price. How much discount you get will depend on:

how long you have been a council tenant
whether the property is a house or a flat
the age and condition of the property.

The discount is usually a percentage of the value of the property but there is also a maximum discount for properties in different areas of the country. In many parts of London and the south east, for example, the maximum discount is £16,000, regardless of the value of the property.

How do I apply?

If you want to apply for the right to buy, ask the council for the right to buy claim form (RTB1). Complete and return the form, and keep a copy. The council has to give you a decision within four to eight weeks.

If the council decides that you have the right to buy, it has to send you a formal written notice that describes the property and explains:

the terms and conditions of the sale
the value of the property
the discount you will get and how it is calculated
if the property is a flat, an estimate of the service charges you will have to pay
details of any structural problems that the council is aware of.

If the council says you don't have the right to buy, it has to give you a reason. If you think the council's decision is wrong, you can ask for a more detailed explanation. Contact a local advice centre if you are in this situation. The council may be wrong.

What if I want to sell it later?

If you decide to sell your home within the first five years or it is repossessed by your mortgage lender during that time you will have to repay some or all of the discount. How much you have to pay back depends on how soon this happens. Check with your local advice centre if you are worried about this.