The property market in the United Kingdom has been generous to the public lately and with the amendments done to the Right to Buy (RTB) law, more and more tenants were able to acquire real property with huge discounts. This article will help give you information on the conveyancing fees for Right to Buy schemes. If you’re a tenant and would also wish to own the property that you’re leasing right now, then read on this article in order to find out.
“The Right to Buy” law came about back in the 1960s when the Labour Party proposed the idea to give tenants the right to acquire the property that they’re renting. Former British Prime Minister, Margaret Thatcher signed this into law when she assumed office in 1979 and ever since that time there have been hundreds of thousands of properties sold under the conditions and provisions of this law.
What is the Right to Buy (RTB) Law?
The Right to Buy (RTB) Law is one of the provisions of the greater Housing Act of 1980 and under this provision, a tenant who has been renting a flat or maisonette, terraced home, semi-detached or detached property; for at least 5 years (as of the 2005 amendments) becomes automatically eligible to apply for Right to Buy. In the beginning the Right to Buy law only provided around £16,000 to £38,000 discount for the total cost of the real property where they live in, but now it has gone up to £75,000! This makes it very desirable to own a property in London and other areas in England.
How to Qualify?
As stated above, you qualify for the Right to Buy of the property that you’re renting if you have lived there for at least 5 years. You must also prove that you have money to buy the property, but the government allows for third-party financing to pay for the mortgage of the flat or terrace that you call your home. Your co-tenant, spouse or family member that lives with you can also qualify for the Right to Buy and you can purchase the property through a joint application. This is so that you can share the conveyancing fees for Right to Buy and not to be burdened by the staggering amount of the real property that you wish to own.
What are the Conveyancing Fees for Right to Buy?
The conveyancing fees for Right to Buy includes the solicitor fees, taxes, repairs and maintenance fees; however, do know that if you qualify for Right to Buy, then the Local Authority will give you a substantial discount which will lower the total cost of the mortgage. Other standard conveyancing fees may also include such as those included in the energy performance certificate (EPC). Consider also the general cost of living, although you might already be accustomed to it since you’ve been living in that property for years now.
Another thing to consider is hiring solicitors. The major changes that the UK government did on the Housing Act of 1980 was primarily due to these solicitors. In order to solve the widespread problem of Right to Buy miss selling from brokers and solicitors alike, the UK government made transactions more smoother and simpler. However, there are still bad solicitors out there who will charge you more than you ought to be paying for their services. Always check and make sure that they don’t have hidden fees if you’ll hire one to do conveyancing on your behalf.