Resale covenant deed

noodles87

Hi there!

I've read loads of posts from this forum and they've helped a lot so I come with a question. I'm a first time buyer and have found a lovely house that I'm considering putting in an offer on. The house was previously refurbished as part of a regeneration scheme within the local community. It's within my budget and I have a mortgage in principal, but there's a clause that the seller has made me aware of...

The house has a deed of covenant setup by a community land trust which locks in its resale for perpetuity (calculated at 4 * median salary for the area (this is something which I think is good, means that houses like this remain affordable)) and I also need to fill out a form explaining my connection to the area and why I need to access affordable housing - I'm not sure if this goes to the seller or to the community organisation/council and how it's decided.

I was wondering if anyone might know how this could affect mortgage acceptance? Would it put people off buying in the future if I look to resell it? Has anyone had previous experience of something similar?

Thanks in advance!