What Is Right to Buy?
The Right to Buy (RTB) scheme, introduced under the Housing Act 1980, gives eligible council tenants in England the legal right to purchase the home they live in at a discounted price. The discount is based on how long you have been a public sector tenant, the type of property (house or flat), and where in England it is located.
Right to Buy has helped over 2 million households purchase their council home since its introduction. For many tenants, the scheme offers an accessible route to homeownership that would otherwise be financially out of reach, as the government discount effectively acts as a deposit or significant price reduction.
It is important to note that Right to Buy currently operates only in England. Scotland abolished the scheme in 2016 and Wales in 2019.
Eligibility for Right to Buy
To qualify for Right to Buy, all of the following conditions must be met:
- You must be a secure council tenant — meaning your tenancy gives you specific legal protections under the Housing Act 1985.
- You must have spent at least 3 years as a public sector tenant (this does not need to be continuous, and does not need to be in the same property or the same council — it can include time in NHS trust housing, armed forces accommodation, or housing association properties).
- The property must be your only or principal home.
- You must not have a bankruptcy order against you.
- You must not be subject to a possession order (where a court has ruled the council can evict you).
- You must not be subject to certain anti-social behaviour orders or injunctions.
You can apply jointly with up to 3 family members who have lived with you for the past 12 months, or with any joint tenants — even if they have not lived in the property for 12 months.
Right to Buy Discount Calculator
Enter your years as a public sector tenant and property details to estimate your maximum discount.
This is an estimate only. The council will confirm the official offer price. Discount cannot exceed the property value.
Right to Buy Discounts 2025 / 2026
The discount you receive depends on whether you live in a house or a flat, and how long you have been a public sector tenant. The discount is capped both as a percentage (70%) and in cash terms:
| Property Type | Starting Discount | Increase per Year | Maximum % | Max Cash (England) | Max Cash (London) |
|---|---|---|---|---|---|
| House | 35% (after 3 years) | +1% per year | 70% | £87,200 | £116,200 |
| Flat / Maisonette | 50% (after 3 years) | +2% per year | 70% | £87,200 | £116,200 |
Discount Examples
- A tenant with 10 years in a house (England, outside London): 35% + (7 × 1%) = 42% discount
- A tenant with 15 years in a flat (London): 50% + (12 × 2%) = 74% — capped at 70% or £116,200
- A tenant with 35 years in a house (England): 35% + (32 × 1%) = 67% discount (percentage cap not yet reached, but cash cap may apply)
The discount is the lower of the percentage calculation or the cash cap — whichever is smaller.
The Right to Buy Application Process
- Check your eligibility using the government's Right to Buy eligibility tool at gov.uk.
- Complete the RTB1 application form, available from gov.uk or your council. Submit to your landlord (the council).
- The council has 4 weeks to confirm whether you have the Right to Buy (8 weeks if you have been a tenant for less than 2 years — though the general eligibility is 3 years, some transitional cases exist).
- The council then has 8 weeks (for a house) or 12 weeks (for a flat/leasehold) to send you a formal offer notice (Section 125 notice) setting out the purchase price, discount, and any known defects.
- You have 12 weeks to accept or reject the offer, or to request a re-valuation if you believe the price is too high.
- Once you accept, you arrange a Right to Buy mortgage and appoint a solicitor.
- Complete the purchase and become the legal owner of your home.
If the council fails to meet its deadlines, you can serve a Delay Notice (RTB6 form), which can entitle you to a discount on the purchase price for each delay period.
Right to Buy Repayment Rules
If you sell the property within 5 years of purchase, you must repay a proportion of the discount:
| Year of Sale | Discount to Repay |
|---|---|
| Year 1 | 100% of discount |
| Year 2 | 80% of discount |
| Year 3 | 60% of discount |
| Year 4 | 40% of discount |
| Year 5 | 20% of discount |
| After Year 5 | No repayment required |
The repayment amount is adjusted for any change in property value since purchase. For example, if you received a £50,000 discount and the property has increased in value by 10%, you repay the discount percentage of the current value — meaning your actual repayment could be higher or lower in cash terms.
There is also a first refusal right for councils in designated rural areas: if you sell within 10 years, you must first offer the property back to the council or another social landlord at market value.
Right to Acquire
Tenants of housing associations (registered providers) do not generally have Right to Buy, but they may qualify for the related Right to Acquire scheme. Key differences:
- The discount is much smaller: £9,000–£16,000 depending on the area (set by the government, not calculated as a percentage).
- The property must have been built or purchased by the housing association after 1 April 1997 using public funds.
- The same 3-year qualifying period and main home requirement applies.
- The housing association can refuse if it can provide a suitable alternative property instead.
Preserved Right to Buy
If your council transferred its housing stock to a housing association (known as Large Scale Voluntary Transfer), you may have retained your Preserved Right to Buy. This applies to tenants who were already council tenants at the time of transfer. You keep this right even though you now rent from a housing association, and the discounts mirror standard Right to Buy rates.
Right to Buy in Scotland and Wales
Right to Buy Mortgages
Several specialist lenders offer Right to Buy mortgages, and many allow you to use the discount as your deposit — meaning you may need no cash deposit at all. Key features to look for:
- 100% loan-to-value (LTV) relative to purchase price (using the discounted price as the property value)
- Some lenders will lend on the open market value (before discount), giving you additional equity from day one
- Mortgage terms of up to 35 years
- Options for fixed, tracker, or variable rate products
Working with a whole-of-market mortgage broker experienced in Right to Buy is strongly recommended, as the product market is more specialised than standard residential mortgages.
Potential Disadvantages of Right to Buy
- Loss of council tenancy security: Once you buy, you lose your secure tenancy status and associated rights (e.g. the right to exchange homes with another tenant, or to return to social housing).
- Responsibility for all repairs: You become fully responsible for maintaining the property — walls, roof, boiler, and everything else.
- Service charges (flats): If you buy a flat, you become a leaseholder and will pay service charges. These can increase significantly following major building works.
- Potential negative equity: If property values fall, you could owe more on your mortgage than your home is worth.
- Repayment risk: Selling within 5 years means repaying some or all of the discount — sometimes more than you received, if values have risen.
- Impact on benefits: Buying may affect eligibility for means-tested benefits. Seek advice before applying.