Rent Before You Buy

What is Rent Before You Buy?

This is an assistance package that is offered to buyers who rely on the funds of their existing house sale to fund the purchase of an MHA property. The process is simple, enables you to have a more relaxed move into your chosen apartment without the worry of selling your own property first and allowing you to enjoy a rent free period.

Please see the What else do I need to know? section below for the conditions regarding the Agreement For Sale and the rent free period.

How does Rent Before You Buy work? 

When you have found the property you wish to purchase, you can proceed as follows:

Step one

Undertake the usual assessment with the Scheme Manager or Senior Care Worker to ensure your ability to live independently and any care needs can be accommodated.

Step two

Upon a successful assessment, you can reserve your apartment with a £1,000 deposit, requesting to purchase using the ‘rent before you buy’ scheme.

Step three

The normal conveyancing process is undertaken, with exchange of contracts on your apartment purchase being made with a 4% deposit.

Step four

You move into the property on an Assured Shorthold Tenancy (AST) Agreement. The Agreement for Sale commits you to complete on the purchase of the MHA apartment, on completion of the sale of your own property. The AST lasts for 12 months - if you sell your own property before exchange, the agreement falls away.

What are the weekly rental charges?

From exchange of contracts, your rental payments will be free from 0 to 3 months, half price from 3 to 6 months and full price from 6 to 12 months. For example, on a £200,000 purchase, the weekly rental charges would be as follows:

0 to 3 Months: Free | 3 to 6 Months: £115.38 | 6 to 12 Months: £230.77

What else do I need to know?

There are two conditions that you must be aware of when considering the Rent Before You Buy assistance package.

Firstly, the Agreement for Sale can only support properties that are registered in the buyers own name with the Land Registry. Properties in Scotland and the Isle of Man as well as park and mobile homes are not eligible.

Secondly, from commencement of the AST (including the free and reduced rental period), the service and wellbeing charges are payable in addition to the rent.