As well as getting more space, ex-council properties are significantly cheaper; the Royal Institution of Chartered Surveyors (RICS . 1939 to 1965. Select the one that looks best to you and work with a broker to submit a mortgage application including information on your incomings, outgoing, deposit and credit score. Qualifying tenants upon meeting specified length-of-tenancy requirements are automatically given the right to purchase their home, with discounts available of up to 82,800, increasing to 110,500 for qualifying properties in London. I'm sure there are many decent ex-council areas around the country, houses where it's not immediately obvious of the history. Signing a three-year rental agreement with the housing . Ex-council house turned into real-life historical wonderland after owner spends 25 years and 700,000 renovating it room by room - but now it's on the market for just 300,000. I am assuming the lender will want the deeds changed before lending. without permission from the council first. 20 Feb 2009 . Buy-to-let mortgages have higher interest rates than residential mortgages and typically have higher fees. So in the last 39 years has made home . Re: CGT on ex. Getting a council home. Yes, it's possible but mortgages lenders will have more things to consider with ex-council properties, including: Whether the property is freehold or leasehold. Some of the methods of construction used are unacceptable to mortgage lenders so it is important that surveyors are familiar with the type of construction used on council estates in the area they cover. his mother died and he inherited the ex-council house . They are also made of sturdy structures but lack the . This is even more of a selling point if you are already renting a council house that offers you the opportunity to buy it, as your previous years of rent are usually taken into account and deducted from the value. Ex council houses for sale can cost as little as 50, 000, depending on the location. Over 1072 mortgage products. In that case you also need to go through the Land Registry entry for each house in the street to check whether the mortgage is with NR, B&B, A&L, RBS, HBOS, Lloyds etc. Under the Right to Buy scheme, you can apply to buy your council home if: it's your only or main home. Whether you are married, in a civil partnership, or cohabiting, both you and your ex-partner have a right to stay in the home, as you are both legal owners. I disagree with right-to-buy but it is an option for you. If you've applied for a new mortgage or to borrow more money, or if you're a lender or solicitor and your client is remortgaging, then the mortgage provider may need information from us. 4) Ex-council houses. Council house. Housing, mortgages, debt and related issues. Since its introduction in 1980, the Government's Right to Buy scheme has helped millions of people living in council housing to purchase the homes they currently rent and start to store equity in their property by paying off a mortgage rather than continuing to pay money to their landlords. . 400,000: a two-bedroom ex-council flat in Parkhurst Court, Warlters Road, Holloway N7 Barron estimates ex-local authority properties are about 15 per cent cheaper than non-council homes. Example of BTL yield: If you bought your two bedroom council house for 100,000 and charged your tenants 600pcm, the annual rental income would be 7,200. Twitter; Instagram; Office Hours. Many lenders impose a maximum loan-to-value on ex-council homes. I want to build a garage, without a garage the house is useless to us. You own the home jointly with your ex-partner. East sold two two-bedroom flats this summer, which illustrate his point. However I understand that you have to own it for 5 years before you can sell and ex council houses on council estates can be hard to sell. Signing a three-year rental agreement with the housing . How does the process work when purchasing with a mortgage. right to acquire for some housing association tenants. Speak to an expert on ex-local authority flats. However, it adds additional complexity. This is . Right to Buy is an affordable housing scheme open exclusively to council property tenants (and some housing association tenants). How can I get a mortgage on an ex-council house? However, some people may be put off by the Right to . The scheme has been abolished in Wales and Scotland. 24-7 Mortgages and KPM Financial Services is a trading name of Kevin McGee, a mortgage broker not a lender and insurance intermediary. The most common type of concrete housing was Pre-Cast Reinforced Concrete. Crystal Gate House 28-30 Worship Street London EC2A 2AH. It turns out the house were trying to buy is ex council and there is a covenant on it saying that i cant build anything anywhere on the property. A similar sized flat in a private 1960s block in the same area however will be priced between 430,000 and 450,000. They were easy to assemble and build. Ex-council homes If your home used to be owned by the council, but they sold it to another landlord (like a housing association) while you were living in it, you may have the Right to Buy. About Us; Blog; Basically my question is as above, ex-council house on a small estate in a desirable (to u Create an account to join the conversation Have your say, get notified on what matters to you and see fewer ads . There are two big advantages to buying ex-council property: space and money. Ex council houses are usually spacious with plenty of storage space. Loans; Personal Loans. The Council will then assess the evidence and prepare . If you qualify, you can buy your home: by yourself. The property must also be your main and only home. Many are undergoing regeneration which could mean . Christian Dugard, founder EXLA London, says: "Ex-council properties are more affordable, with generally lower service charges and in some great locations, for example you could pick up a . 23 Jan 2012. Mortgages, Mortgage Protection . Click here to see balcony deck access products. A fee of 350.00 will need to be paid to the Council before the application will be processed. About 300 houses. Country. Right to Buy is a scheme in England that allows most council home tenants, as well as some housing association tenants, to buy their council property at a discount. Buy your council home. Lenders may request some additional information before deciding whether to make you an offer for an ex-council house mortgage. you've had a . Over in Hackney, ex-council houses in Shepherdess Walk have been selling for between 1m and 2m. If you have questions about buying an ex-council property and want to speak to an expert for the right advice, call Online Mortgage Advisor today on 0808 189 2301 or make an enquiry here. If you're buying outside London and the Southeast, the property must be valued at over 100,000. As raising a deposit for a mortgage can take years now for the average first time buyer and even then many potential buyers are priced out of the market, it now seems that many ex-council estates are slowly starting to fill up with first time buyers that are eager to get themselves onto the property ladder at an . 2 minutes drive to . For example: A mortgage of 115,559 payable over 24 years, initially on a fixed rate for 5 years at 6.99% (and then on a tracker rate for the remaining 19 years at 1.8% above the Together Homeowner Managed Rate (THMR)) would require 60 instalments of 846.05 followed by 231 monthly payments of 824.52 plus a redemption administration fee of . . In actual fact, a lot of ex-council estates are starting to slowly fill up with first-time buyers eager to get on the property ladder any way they can. Buying an Ex Council House. This advice applies to England. Lenders can also be put off by these properties if they're surrounded by a high concentration of rented council houses (rather than owner-occupied properties). This is immediately preceding their application to purchase a property. There are two ways to determine whether a house or flat is ex council (Local Authority). You both also have the right to return to the property, even if you have agreed that one of you will leave. One property was purchased for 171,000 by the tenant in 2000 and later sold for 1m in 2014, whilst another was purchased through the Right to Buy scheme for 220,000 in 1997 and later sold in 2013 for 1.94m. Wide tree-lined roads, tidy gardens, good solid houses. If you've applied for a new mortgage or to borrow more money, or if you're a lender or solicitor and your client is remortgaging, then the mortgage provider may need information from us. Plus, if you are already a tenant of a council house or housing association, The Right to Buy policy, introduced in the . Some lenders are more reluctant to lend for ex-council homes. You're able to secure an ex-council home mortgage with Lending Expert. Many of the PRC properties were originally built as local authority or council housing, over the years many have been purchased privately. On the sale or assignment of lease of a property to which the restriction applies these rural ex-council houses can only be transferred with the council's consent. Im trying to talk to the council about it but the relevant . The other was . DO YOUR RESEARCH. Owner John . 101 Smart Ltd is a registered limited company in England (Reg No 5294196). A lot of council houses (around here anyway) have concrete cancer. Yields tend to be good as the properties can often be bought for less per square foot compared to other property types, but the extra space one often gets means the rents are often higher and therefore so are yields. Crystal Gate House 28-30 Worship . The scheme has been around for over 40 years, having been originally been introduced by Margaret Thatcher in the Housing Act 1980. Why do I need consent? If you'd like help on getting a mortgage for a buy-to-let, ex-local council property, get in touch on 0808 189 2301 or make an enquiry with Online Mortgage Advisor. Some council estates do still have serious social problems, so high-risk estates are to be avoided. We have been in touch with the council to get the restrictive covenant varied and they have come back with a price including legal fees. It is likely that you will need a larger deposit too. 2 Kiing sized bedroomed house, Assured tenancy with Hyde housing, wheelchair accessible so all good sized rooms, solar panelled for cheaper fuel costs , combi boiler, loft with fixed ladder, double glazed windows..Pets allowed, back garden, own parking.Beautiful quiet village with schools, train station , bus stop thriving village community centre all in walking distance. A two bedroom ex-local authority property in good condition in Southfields will typically sell for between 380,000 and 400,000. An experienced broker will talk you through a list of lenders offering ex-council house mortgages and the best rates they can find for your financial situation. FCA authorised and regulated mortgage experts. Tenants like the extra space and especially the good . The houses were typically clad in brick or . Our advisors can help you to get the best deal possible on your buy-to-let . To find out more please complete the Contract Form on this website or call T: 020 7993 2044. Remortgaging your ex-council property. Interest Only Lifetime Mortgages Ex Council Properties Ex-Housing Association. Specialist Mortgage Advice. This surcharge could be refunded on a later claim if the ex-council flat is sold within 36 months of purchasing your new dwelling. Right to Buy Mortgages offer discounts to buy your home if you are a council tenant. St Marks in Cheltenham was built by the council in 1929. It is very expensive to treat. Follow Us. Unfortunately, most lenders are reluctant to grant mortgages on ex-local authority housing because these homes are considered more likely to lose value over time. Buying ex council stock is often a good investment. Areas We Cover. Your council will then prioritise applications based on who needs a home most urgently. Ex-local authority If you want more space, an ex-local authority flat or house could be the answer. Hello fellow PH people. We have been in touch with the council to get the restrictive covenant varied and they have come back with a price including legal fees. There was virtually no housing, either council or private, built during the Second World War from 1939 to 1945. A report from KIS Finance, a bridging loans and development finance broker, has found explains that the scheme places a huge discount, up to 70% of the property value, on the purchase price. Since 1969, all council housing has been built to Parker Morris standards, meaning room sizes and floor space have to meet certain minimum standards which are often more generous than in other, similarly . Both are close to the same London tube station. The earliest system-built houses date back to the inter-war period, when around 50,000 non-traditional dwellings were built. With our finger on the pulse of the London ex-council market, we're perfectly placed to help investors to grow and manage their portfolio. The 21-year-old only needed 24,470 home loan but he'd just . It is a nice 2 bed semi with a garage, pretty perfect for his current needs. David Hider thought they'd never be able to own the house where they'd lived for 11 years after he was turned down for a home loan by a string of banks and building societies. Move into the council house and continue to save. If the property is for sale, the estate agent will have details on the history of the property. You can apply for a home through your local council. The Section 157 restriction is a life-time covenant and stays with the ex-council property irrespective if you are the first buyer or subsequent ones. . 1,000 - 5,000 Loans; . by Mark Johnston Buying an Ex Council House. with a spouse, civil partner or other joint tenant. Registered with the Regulator for Social Housing (Reg No LH4087) VAT No (675 646 394). If it's leasehold, you may find it harder to get a mortgage if there isn't long left on the lease. Right on the Edge of a country park, 200 yrds within the Birmingham city boundary with Worcesetershire. #1. Some of the names of the building companies and types include: Trusteel MkII, Trusteel 3M, Telford (1920s), BISF, Nissen-Petren, Falkiner-Nutall, Birmingham Corporation, Arrowhead, Keyhouses Unibuilt, Steane and British Housing among others. Since the Right to Buy Scheme was introduced in 1980, around 2.6 million council homes have been sold to tenants. The biggest upside to buying an ex-council house is that they tend to be far cheaper than comparably-sized properties, within the same area. How does the process work when purchasing with a mortgage. A young man managed to buy his 46,000 ex-council house by taking out a mortgage - with his mother. comments/suggestions are much appreciated. These properties have been a feature on the market since right-to-buy was introduced in the 80s. council consent to ex council house sale. Not all mortgage lenders will loan on ex-local authority homes, particularly buildings which have "deck access" to front doors via a vulnerable long communal balcony. One of the biggest pros of buying an ex council house is that they tend to be much cheaper in comparison to other similar-sized properties. We are purchasing an ex council house to let and would like to turn it into a HMO. It's usual to find people searching for monthly payment equity release, lump sum life time mortgages or monthly payment equity release, however, Legal and General like AA equity release are keen to see proof of your personal situation in . However, it was during the post-war period that production stepped up a gear. This is because they want to protect themselves from potential value . This surcharge could be refunded on a later claim if the ex-council flat is sold within 36 months of purchasing your new dwelling. . with up to 3 family members who have lived in your home for the last 12 months. The criteria to be eligible to buy your council house are strict, but if you apply you will qualify for a discount on the value of . CGT is all due on her if you do not have a share in the property. Getting a mortgage for an ex-council house might not be as smooth or easy as it would be for a . I am assuming the lender will want the deeds changed before lending. Caroline Arslanguloglu is an employee working in Employment and Social Development Canada, according to the data provided by Shared Services Canada (SSC), Minister of Public Services and Procurement. Registered office: Level 6, 6 More London Place, Tooley Street, London SE1 2DA. In 1989, we looked at an ex council house and the view here is the communal parking area. One was a 64 sq metre ex-local authority flat for 250,000. Give us a call 020 3328 0377. Flats and houses built by local authorities can be twice the size of modern new-builds, which can be ridiculously small. They were cheap and therefore affordable to many. Postby Jholm Wed Jun 09, 2021 9:53 am. High rise ex council property mortgage 27-06-2019, 09:03 AM. "The council say the total bill will be 12m and we have to pay another 5,000. The remortgage pack includes: current service charge account balance and statement (including ground rent) If the property is not for sale, you can purchase a copy of the title deed from Land Registry for a small fee. Gibbens adds: "For Londoners, for example, buying an ex-council may well mean their best chance of affordability living in the Zones especially 1 and 2. it's self-contained. The advantages. Right-to-buy put 2.5m former council homes into the property market and many are spacious, well built and a good deal - but beware the traps. Email us enquiries@exlalondon.com. Bag an ex-council house for a good deal. Thirty years . However, it will be hard to find a mortgage lender as they usually consider ex-council property and structures made of concrete to be difficult to resell. Yes, you can get a mortgage on an ex-council house made of concrete. There are very many types of steel frames from many different manufacturers. Remortgaging your ex-council property. We are purchasing an ex council house to let and would like to turn it into a HMO. Buying Ex Council Stock. Hi guys would anybody be able to help a friend of mine is trying to buy his ex council property it's not a high-rise as in the standard meaning it's basically three floors up but too high street lenders have been out and classified it as that and won't lend on it despite it having LTV . If you have been excluded from the . Get free advice and best rates from Lending Expert when you apply >> Loans. Mon - Fri: 9am - 6pm Sat: 10am - 4pm Sun: Closed. Niche Advice is not a Mortgage Lender but a Broker that offers appropriate advice to mortgage applicants with potentially problematic properties including those with balcony access. right to buy for secure or flexible council tenants. The remortgage pack includes: current service charge account balance and statement (including ground rent) 24-7 Mortgages is authorised and regulated by the Financial Conduct Authority 474912, in respect of mortgage and insurance mediation activities only. Mum's house - ex council was practically rebuilt but plenty on the estate haven't been. If your application is accepted, you'll go on to a waiting list of people who need a council home. If you're looking at purchasing an ex-council property, please be aware that it must be valued at over 150,000 if you're buying in London and the Southeast. Lender criteria for ex-council properties is always changing. Her cost for CGT purposes will be her 50% share of the cost in 1990 plus the value of the other 50% share inherited in 2015. Details of which can be found by visiting www.fca.org.uk. Now a 'Conservation Area'. Avoid costly fall-throughs by picking the right lender from the beginning. Not to mention unknowns like the Mortgage Help Scheme or whatever they now have in place to prop up delinquent loans, not to mention all the junk the BoE has purchased. PPR relief may be available for the small period your wife lived n the property. Christian Dugard, founder EXLA London . It is possible to get a buy-to-let mortgage on an ex-council house. The title deed will identify the current . Can you get a mortgage on a concrete ex-council house? This will need to evidence that at least one of the of the purchasers has lived or worked in Cornwall for the last 3 years. Lenders prepared to take on former council flats include Nationwide, which will lend on most ex-local authority properties on the condition the block is well maintained, and Britannia, which is . Mortgage lender Halifax reports that the average price in the village jumped from 339,912 to 501,638 in the 12 months to January 2021. . Annual rental income / property value (x 100) = 7.2%. North London; South London; East London; West London; Helpful Links. The introduction of 'Right to Buy' in the 1980s transformed the private market for ex-council housing in the UK and since then, many former council flats and houses have . Some of the other flats paid 15,000 last year and now have demands for another 15,000," says Whitehouse. you're a secure tenant. Gibbens adds: "For Londoners, for example, buying an ex-council may well mean their best chance of affordability living in the Zones especially 1 and 2. Between 1945 and 1955 around 20% of new housing was system-built, amounting to some 500,000 units, with a further 750,000 units being . Just Retirement Mortgages. Show the Council a contract of sale of the old house and then they issued consent to sale of the ex council house. The position title is Officer, Project Services. First time buyers can therefore sometimes save around 40% by buying ex-local authority properties. My brother viewed a house today. An ex-local authority flat or former council house can be a financially attractive prospect to homebuyers and buy-to-let investors alike. The information update date is May 17, 2022. They might also call it 'social housing'. The property's design. In a lot of cases, buying an ex-council house is the only way to upgrade from a small flat. we've been viewing some ex-council houses and want to know what are the Pros and Cons of buying this type of property. I wonder if I may seek your opinions. Thread starter redtaped; Start date 20 Feb 2009; R. redtaped Guest.