Rent-to-buy is a government scheme which allows you to rent a property for up to five years while paying a reduced rent.
How do I do it?
- Complete an application form to receive approval from the Help to Buy zone agent - www.helptobuyese.org.uk.
On the home page, click on the ‘How to Apply’ tab and at the bottom of the page click the link to complete an online application form
Hightown lists all available properties on www.helptobuyese.org.uk
Once you have found a Hightown property you are interested in please give us a ring on 01442 292535
Should I do it?
- If you are eligible, it really depends on the property, Hightown’s offer and whether you will take advantage of the reduced rent to save up for a deposit
- This scheme may give you access to properties you otherwise wouldn’t be able to afford and while renting, you are dealing with a social landlord, which may offer you an extra feeling of security
- House prices can go up and down so while you are renting, they might rise beyond your reach - a longer rental period puts you at greater risk of this
- If you goal is to eventually buy the property, Hightown can put you in touch with an independent mortgage adviser who will advise you how much this would cost in monthly repayments
- Don’t forget there are the costs of buying a home to factor in too, such as removal costs, mortgage fees and legal fees
- When you have lived in a newly built home and formed community networks, it can be an advantage to buy the property you have been renting rather than moving - the upheaval involved when moving home can be very stressful
- If you already have a deposit saved and think you might be in a position to buy through Shared Ownership, call 01442 292381 or visit www.hightownhomes.com for more information
Am I eligible?
You are eligible if:
- Your household earns £80,000 or less. A household can be one person, or you and a partner or you and a friend
- You are a first time buyer, or you used to own a home but cannot afford to buy one on the open market now
- You have a good credit history
- You have, and can demonstrate, a savings plan
Once you have registered with Help to Buy East South East (the Homebuy Agent for the East and South-East of England), Hightown and the local authorities will have further eligibility criteria
Priority will be given to those in housing need, social housing tenants vacating a property, members of the armed forces and first time buyers
Where are the properties:
Rent-to-buy properties can be found at the following locations but are ONLY available when the existing tenants MOVE OUT
Hitchcock Court, Borehamwood - 25 one and two bed apartments
Korda Close, Borehamwood - 4 two and three bed houses
How does Rent-to-buy work?
- Homes are made available to rent with an assured shorthold tenancy at a reduced rate of 20% less of local market rents
- As you are paying less rent this gives you the chance to save for a cash deposit so you can apply to buy a share of the home later
- After the shorthold has ended, you can purchase the property on Shared Ownership terms, or move out
- This assured shorthold tenancy period can be anywhere between a minimum of six months and a maximum of five years, giving you varying levels of security and time to save
- Be aware there is very limited availability under this scheme