Right To Buy Mortgages

Right To Buy Exclusions

Although most council tenants who have been resident in their property for a sufficient period of time will be eligible for the right to buy, there are some properties that will never be eligible for the scheme.

Homes for the Elderly
Specialist properties for the elderly are not available for right to buy. When a request for right to buy is made by a tenant to his or her landlord, it is possible for the landlord to refuse to sell the property on the basis that it is the type of accommodation which is particularly suitable for elderly occupation, or if you or the previous tenant are/ was over 60 years of age. When determining whether the property is suitable for older occupation, factors such as size, location, layout and features are taken into consideration.

Homes with a Demolition Notice
Any property that has been issued with an initial demolition notice, which is valid for a total of 5 years served upon it, releases the landlord from the obligation to make a property available under the right to buy scheme. A landlord may still accept an application, if he so chooses and can continue with an application that is already under way, provided, of course, that the property has not been demolished.

Once a property becomes subject to a final demolition notice, then any current applications for the right to buy will become invalid and no new applications can be made, whether or not the landlord wishes to accept the application. A final demolition notice remains in force for 2 years.

If a tenant discovers that they are out of pocket, as a result of pursuing a right to buy involving costs for surveys, mortgage arrangement fees and solicitor fees, etc. when a final demolition notice is served, then the tenant has 3 months in which to claim compensation.

Rural Property
If the property is located in a National Park or an area of outstanding natural beauty, then additional restrictions can be placed on the purchase, including the need to offer the property back to the landlord if it is resold within ten years. Alternatively, there may be restrictions placed on the types of persons to whom the property can be sold, including the need for them to have lived in the locality for at least 3 years.

Summary
Certain properties such as accommodation for the elderly and property subject to demolition cannot be made subject to a right to buy order; and
rural property, although available under right to buy, could be subject to greater restrictions.