Rent to Buy

Rent to Buy is available to the following:

• First-time buyers.
• Applicants returning to the market due to exceptional circumstances, such as a relationship breakdown, which means that they can’t afford to buy a home on the open market.

Applicants must be ‘working households’ and intend to buy their own home in the future at time of letting.

All applicants will be required to complete an application and be assessed to ensure that they are suitable for the scheme and that they cannot currently afford to buy outright on the open market. Applicants will be subject to affordability, Right to Rent, Credit References and Landlords checks.

You'll be required to pay a full month’s rent including any service charge, plus the remaining apportionment for the current month’s rent before you move in to the property. This'll allow time for your account and future direct debit payments to be set up.

The security deposit payment is equivalent to five weeks’ rent/service charge and will be payable at the same time. Payment will need to be cleared at least 48 hours prior to you moving in to your home.

Once a moving-in date has been set, our appointed letting agent will advise you of the amount you need to pay and arrange to collect the payment from you on our behalf.

All future payments will then be collected directly by us via a monthly direct debit on the first of each calendar month.

A service charge is the payment collected to cover any external or internal communal costs, such as gardening, external/internal lighting, pavement/road repairs.

Should a service charge be payable for your property, you'll be provided with a breakdown of the works included in the costs. Your rent will be calculated to ensure that the rent including any service charge does not exceed 80 percent of the open market rent.

You'll need to pay the service charge while you're our customer. The service charge will also be payable once you purchase your home on either a freehold or shared ownership basis and we'll provide you with an up-to- date schedule at that time.

If you choose to purchase your home, you'll be liable for the following costs:

• Solicitors fees, including disbursements.
• Stamp Duty (if applicable).
• Mortgage arrangement fees.

If buying on a Shared Ownership basis, you'll be liable for:

• Shared Ownership rent.
• Shared Ownership Management Fee and Buildings Insurance.

If you decide to end your tenancy and move out of your home, you'll be liable for:

• Removal costs
• Any costs for damage or repairs, which'll be deducted from your security deposit.
• Any rent or service charge arrears, which'll need to be cleared before the end of your tenancy.

In addition to your rent payments, you'll also be responsible for all utilities costs associated with the property from the day you move in. Meter readings will be taken at the handover meeting to allow for you to set up accounts in your name.

You'll also be responsible for Council Tax and any telephone, Wi-Fi and TV subscriptions.

An Assured Shorthold Tenancy will be granted, which'll run on a periodic basis for a maximum period of five years. The agreement will be fixed for the first six months.

Only applicants approved for Rent to Buy and included in the application can live in the property. Sub-letting is not permitted within the terms of the tenancy agreement. You must notify us of any change to the household details during the tenancy period.

If you'd like to carry out decorating or works to the property, you'll also need to notify us beforehand in writing.

We would, however, request that due to the properties being newly built and settling, you refrain from hanging wallpaper and decorating the walls as this may affect the defects period stipulated by the builder and may cause issues when the end of defects inspections are carried out.

Under the terms of your tenancy agreement, you'll need to seek our permission if you wish to keep pets at the property.

Please notify the letting agent at the time of application to allow for your request to be considered and for our consent to be granted in writing.

As your landlord, we're responsible for maintaining the property under the terms of the tenancy agreement. When you move into your home, you'll be provided with a handover pack, which'll include instructions on how to report a repair or property defect to us.

You also have your own responsibilities within the tenancy agreement to keep the property in good order. We won't be held responsible for costs relating to damage caused to the property by customers or visitors. These costs will be deducted from the security deposit at the end of the five-year term, or sooner should you vacate the property during the five-year term.

Once you move into your home, you’ll be provided with a handover pack which should provide all the information you require. You’ll also be given access to set up a ‘My Account’ profile.

My Account allows you to check your personal information, your rent statements and also report repairs. You can also request help and information and report any anti-social behaviour issues through our website. You’ll also be given information about your local Housing Officer, who’ll also be able to provide help and advice when required.

Firstly, a valuation by a RICS Chartered Surveyor will be required. We'll arrange for the valuation to be undertaken on your behalf and we'll cover the cost. The valuation will confirm the current open market valuation of the property.

If you live in a house, you'll be able to buy the freehold of the property. If your home is an apartment, the property will be sold on a leasehold basis and a lease will be granted.

Should you proceed to buy your home, we'll require an Agreement in Principal (AIP) from your mortgage lender, confirming that you’re able to secure a mortgage.

Under the terms of the Option Agreement, prior to the end of the five-year term we may agree to sell a share in the property to you on a Shared Ownership basis (subject to further eligibility and affordability checks being undertaken). You'll not be able to purchase your home outright until the end of the five-year term.

If you decide not to purchase the property or are unable to purchase the property due to your current circumstances, we can choose to serve notice to end the tenancy agreement under the terms of the Option Agreement.

During the five-year period, we'll aim to contact you on an annual basis to review your financial status and check that Rent to Buy is still suitable for your needs.

If you’re unable to buy your home, you’ll need to inform us six months before the end of the five-year term to allow you adequate time to secure alternative housing before the end of the tenancy term.

You'll be unable to end your tenancy agreement within the first six months. After this time, you'll need to contact us and complete a Tenancy Termination Form, giving no less than one month’s notice to end your tenancy.

We'll then arrange for the required end of tenancy inspections to be carried out. You must ensure that the property is returned to us in the same condition as when you moved in and that your rent account isn't in arrears.

If your circumstances change and you’re no longer able to fulfil the Rent to Buy agreement, we'd strongly advise that you contact us at the earliest opportunity.

Rent to Buy customers aren't eligible to apply for any of the following schemes:

• Statutory Right to Buy.
• Statutory Right to Acquire.
• Voluntary Right to Buy.

Once you move into your Rent to Buy home, you won’t be able to carry out a mutual exchange to another property.

If you've purchased your home on a freehold basis, without any ongoing service charge payments to ourselves, then you can sell your home at any time on the open market without contacting us.

If you own your home outright with an ongoing service charge, you’ll need to let us know when you're selling. This is because your purchaser will need to enter into an agreement with us to continue to pay the service charge and their solicitor will require a Management Pack from us.

There's a standard administration fee charge for the pack to be provided, which'll be confirmed at the time.

If you own the property on a Shared Ownership basis and wish to sell your share, then you'll need to contact a member of our Asset Sales Team prior to placing your home on the market for sale.

A member of the team will provide you with the required information and guidance on how to sell your share and will confirm the fees payable as outlined within your lease.

We won't charge you a fee to progress your Rent to Buy application. However, fees may be payable for the following:

• Change in household members named on the tenancy agreement.
• Fees associated with ending your tenancy prior to the six-month initial period due to a breach of the tenancy conditions.
• Late payment of rent or service charge.