Buying your home instead of Renting
Ever wondered, as a tenant if you could afford to buy your own home? There are schemes available for you as a tenant that will allow you eventually to purchase a home of your choice.
In the long term buying a home can work out much better financially that simply paying rent each month. A £100,000 house today may be worth £250,000, or more, in 20 years time which would give you a nice nest egg. The downside of course is all those pesky repair bills and maintenance issues that your landlord looks after right now.. But its worth considering. Whats available?
As a Social Council Tenant
If you are a council tenant, you may be able to buy the home you rent from your council at a discount under the Right to Buy scheme. The Right to Buy scheme helps social tenants buy their council home, and, at quite a discount. Further reading under the right to buy will help you find out if you can buy your home through the scheme and what discount you could get.
As a Private Tenant
As a non council tenant the concept of rent to buy is an opportunity to buy a property, firstly by taking out a tenancy and then, the big draw is that if you do proceed to a sale you will have the rent you paid returned in most cases and you can then add this to your deposit. You will probably be looking at purchasing 100 per cent of the property with a private scheme, although this can vary. Of course this is only practicable as long as you earn enough to cover the mortgage and other costs, so its not to be taken lightly.