In addition to other low cost home ownership schemes, there are two ways some of our residents can buy their existing home. To qualify for either scheme, you must be a Mercian tenant or have held a tenancy with a local authority or other public body for at least two years. A full list of qualifying bodies is available upon request.
Right to Buy
Although Mercian is a charity and is not obliged to sell its homes to tenants, we have voluntarily undertaken to give our secure residents the Right to Buy.
If you are a secure tenant you can apply to buy your home. The Right to Buy means that you can buy your home at a reduced price. You may be eligible for a discount, subject to a maximum of £26,000, according to the length of your tenancy. Upon application a market valuation of your home will be carried out.
Right to Acquire
Residents of certain properties built or improved after 1 April 1997 may have the right to purchase their homes if the home was built using funding called Social Housing Grant. The purchase price is set at the market value of the property and a flat rate discount is given. This rate depends on the area in which you live.
Social HomeBuy
Social HomeBuy is a Government grant funded scheme which enables tenants to buy their current home. Those that can’t afford to buy outright will be able to buy shares of at least 25%. They will pay a reduced rent of 2.75% (reviewed annually) on the share that remains with Mercian Housing Association and benefit from any increase in the value of their share.
The scheme also provides a discount to help reduce the cost of purchasing. The amount being based on the current Right to Acquire Discount and the size of the share being purchased.
For more information read the Guide to Social HomeBuy below.
For any further details please contact our Leasehold Team on 0121 322 7373 or contact us via our web enquiries form.
Are you a Mercian resident? Why not tell us your views by answering our Question of the Month.
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