Right to Buy

JC145

Hi

First off, new to this forum, but not to this site - I love it and find it very helpful! If I've posted this to the wrong place, please accept my apologies.

My Grandad has a Council House which he has lived in for many years and has expressed a will for someone in the family to buy it. With the Right to Buy scheme, I believe there's a good opportunity to get this property at a substantial discount.

He is 90 so not a candidate for a mortgage I believe, but I should be able to get one for the value of the property.

Is there a way I could take advantage of the discounts here, provide him the backing for a mortgage / take out a mortgage myself and then allow him to bequeath the property to me? I believe there are T&C's on being a tenant etc which makes this more difficult than I initially thought. I myself am a first time buyer.

Many thanks in advance!
James

Senior_Paper_Monitor

WE process right to buys by the cartload (so presumably know what we are talking about).


The purchase is only available to those named on the section 125 offer - all parties on that document must be on the mortgage.


There are a couple of lenders who will ignore one party's age subject to the other party(ies) affordability.


To be accepted on the 125 offer any additional party must be able to prove residence (primary) for 12 months prior to application (RTB 1 form).

chanz4

Council housing are not their to make a profit from

JC145

Hi, thanks for your feedback. The reason for purchase is not for profit but to keep this within the family and also free up my Grandad from rent.

Is there some easily accessible information for section 125 you mention?

Thanks
James

Senior_Paper_Monitor

The 'Section 125 letter' is effectively the offer from the council to sell you the property at a reduced price - primarily it defines who is eligible under the offer, the actual valuation of the property and the discounted price.

Mokka

No lender will lend you money on a property somebody else is buying. The council won't put your name on the offer document as you haven't been living in the property for 12 months. The only way for you to buy it is to move in with your granddad for a year.