Right to buy is a preference system (meaning existing council tenants reserve the right to buy first over other types of potential buyers).

You also get a discount.

How much of a discount depends on where the council property is. In England, it’s currently £102,400. In London, it’s £136,400. These amounts do increase with the consumer price index (CPI).

How much of a discount you get depends on several factors:

1. How long you’ve been a tenant (usually, you’ll need to have lived there between 3 and 5 years)
2. The type of property you want to buy (flat or house)
3. The value of the property.

If you sell the property onwards within 5 years, you’ll need to repay some or all of this discount.

What is a right to buy mortgage? Now, you don’t need to pay for your property out of pocket. You can have the upfront cost covered and split across a loan agreement period the same as any other property. A right to buy mortgage is simply a special type of mortgage designed for those buying under the Right to Buy scheme.

Since there are other factors to check (your form, your eligibility, etc) there are more checks involved with a right to buy mortgage.

The mortgage right to buy product only needs to cover the outstanding amount. This means it doesn’t cover the discount. If the property you want to buy is £200,000, for example, and you get a £50,000 discount, then you’ll need a £150,000 mortgage.

Just like any mortgage, however, not ever offer is going to be the same. With a right to buy mortgage broker at your side you can see all the offers right to buy mortgage lenders have made available to you, and pick the one with the most favourable terms for you.

Ideally you’ll want to go to an independent right to buy mortgage broker like Your Certified Expert, as they don’t work with any specific lender. Instead they work with hundreds of lenders, so you get a bigger picture idea of your options.

There are many features of a mortgage for right to buy applicants. While these are not always guaranteed, you may see:

1. No deposit required: In some cases the discount may be used as the deposit, rather than providing an upfront deposit yourself.
2. Lower loan amount: The loan size itself is smaller because of the discount, making the repayment terms more agreeable, especially if you work with a right to buy mortgage specialist to find the most favourable terms available to you.
3. Become a freeholder: If you buy a house under Right to Buy, you’ll usually become a freeholder. (This doesn’t apply for flats).

You’ll still need to go through affordability checks and need to pay off your mortgage through monthly repayments. That’s why you’ll need a right to buy mortgage advisor to help you understand all the costs and responsibilities that come with your mortgage.

You’ll want to get in touch with a mortgage broker right to buy specialist if you’re a long-term council tenant who wants to finally own their own property. You’ll benefit particularly when buying your existing council rental instead of an outside property thanks to the discount.

Just remember you’ll need to repay the discount if you sell within five years. There are other restrictions, so talk them through with your right to buy mortgage advisor.