Low Cost Home Ownership
A number of CHC members run ‘Low Cost Home Ownership’ schemes.
Intermediate housing aims to help those on low incomes who can’t afford (private rented sector) market rents. Low income households are often forgotten as they may not be in severe housing need to qualify for social housing but struggle to pay market rents.
Intermediate housing models usually rely on lower levels of social housing grant to build or buy and as a result need to set higher rental levels (above rent matrix levels) to financially stack up.
Typically intermediate rents are set at Local Housing Allowance (LHA) rent levels to financially stack up and at the same time give some protection for tenants in case they lose their employment and need to rely on claiming benefits.
Shared Ownership schemes involve tenants buying a share of their home, with a mortgage, and paying rent on the remainder. It is particularly suitable for people who have a regular income and wish to buy their own home, but cannot afford to do so through conventional methods. Shared Ownership schemes are run by a number of our members – please contact them here for more information.
Shared ownership provides tenants who wish to enter into home ownership with an opportunity to part buy and part rent their home. Further information about this scheme is available directly from the housing organisation in question, or on Welsh Government's website.
Right to Buy
Under the Right to Buy scheme, tenants can buy their own home at a price lower than the full market value. This booklet describes the Right to Buy scheme for both landlords and tenants. The discount has been cut to £8,000 by Welsh Government; a move that CHC supports.