If you are an individual who lives in a council property, you may have the opportunity to purchase your property through the Right to Buy Scheme in Birmingham. Regarding that you have lived there for a long period of time.
The Right to Buy scheme was introduced by the Government and provides the option to purchase your council property at a discounted price. Your deposit will be the proposed discount which gives you the chance to organise your savings left over to support you through the full process.
In the 80s, the Right to Buy scheme became a helpful option to many First Time Buyers in Birmingham because they were able to put their foot on the property ladder and become homeowners. However, not everyone agreed with the scheme which made it a controversial subject.
Many people saw the scheme as a way for the government to turn any home into privately owned properties meaning they will be taking off the public sector which wasn’t ideal when there was already not enough supply of housing. This resulted in a change among many council estates.
The process begins by seeing if the individual is eligible to purchase their property which is done by completing an RTB1 form.
Then you will need to see how much your property amounts to which will be done by your local council. By doing this, you will know the percentage discount you’re entitled to which can provide to with more of an idea of the figures involved with the mortgage.
You will then be required to fill out the appropriate forms included in a pack that you will get from your local authority. By doing this, you will be able to proceed. The lender will calculate the amount you’re able to borrow in the same way as any other mortgage: based on your income and expenditure.
Because lenders will be looking at these two financial factors, it’s important that you are sensible with your finances as well as checking your credit score. A credit score is a three-digit number that use to help decide whether you get accepted or declined for a mortgage. If your credit score is needs a boost, here are the different ways how to improve your credit score in Birmingham.
Like with many mortgage, there are fees involved as you go through the mortgage process. Below is just a few to consider:
The costs of buying a home can be expensive, which is why you need to understand this when it comes to property investment. If you want to speak to a Moving Home Mortgage Advisor in Birmingham, feel free to get in touch and book your free appointment online today.
The reason why the Right to Buy Scheme was introduced was to allow people to become homeowners. In the case where you withdraw your application further into your process, you may be issued a penalty fee because of withdrawing your application.
The fee will need to be actioned by repaying a sum of money linked to the original property discount that was provided to you at the start of the process. On the flip side, many people do take this opportunity to utilise the scheme as you are in charge of what you want to do with the home and don’t have to wait for additional services to carry out any repairs.
Here at Birminghammoneyman, we have a reputation for providing expert Right to Buy Mortgage Advice in Birmingham and helping you throughout your mortgage journey. Our Mortgage Advisors in Birmingham work hard to support customers achieve their mortgage goals, Right to Buy customers included.
Date Last Edited - 09/06/2022