SAVE AND BUY WITH LONDON LIVING RENT If you can’t afford to buy your first dream home at the moment then London Living Rent might be the answer to help you eventually get on the property ladder LONDON LIVING RENT
WHAT IS LONDON LIVING RENT? London Living Rent is funded by the Mayor. The idea behind London Living Rent is that it is designed to help people to switch from renting to shared ownership. London Living Rent homes are for middle- income households who want to build up savings to buy a home through shared ownership. Landlords are expected to actively support their tenants into homeownership within 10 years. London Living Rent homes will be offered on tenancies of a minimum of three years. By offering a below-market rent, tenants are supported to save and given the option to buy their home on a shared ownership basis during their tenancy. HOW MUCH RENT WILL I PAY FOR A LONDON LIVING RENT HOME? The amount of rent you pay will vary according to where you choose to live in London. Across London, the average monthly rent for a two bedroom London Living Rent home is around £1,077 a month, almost three quarters of the average market rent.The Mayor publishes benchmark London Living Rent levels for every neighbourhood in the capital, which are updated annually. These are based on a third of average local household incomes and adjusted for the number of bedrooms in each home. So, to ensure family-sized London Living Rent homes are affordable, the rent for a three bedroom home will be set at no more than 10% above the two bedroom rent. AM I ELIGIBLE FOR A LONDON LIVING RENT HOME? To be eligible for a London Living Rent home, you must: 9 Live or work in London 9 Either have a formal tenancy (for example, in the private rented sector) or live in an informal arrangement with family or friends as a result of struggling with housing costs 9 Have a maximum household income of £60,000 9 Not own any other residential home 9 Be unable to currently buy a home (including through shared ownership) in your local area
RENT TO BUY Outside of the London the scheme is known as Rent to Buy. It gives tenants in England the chance to rent a home at Intermediate Rent, providing them with the opportunity to save for a deposit over time to purchase the home.
12 | nationalhomebuyingweek.co.uk
Made with FlippingBook Digital Publishing Software