Richard Connolly, CEO of Rentplus, comments on the DCLG’s Quarterly Right to Buy sales in England
“The significant annual increase in the number of Right to Buy sales shows that many people have been assisted in achieving their dream of home ownership, but in the UK there is a severe lack of affordable housing, and it is important that models which allow people to migrate to home ownership are sustainable.
“It is concerning that there is an apparent emerging chasm between the number of Right to Buy sales and the number of housing starts by local authorities; for example in 2015/16 there were 12,246 Right to Buy sales but only 2,055 starts and acquisitions by local authorities.
“Part of the solution to the issue of housing supply in the UK should be Rent to Buy models which allow tenants to rent their property at an affordable level, with the option to buy later. Working with local authorities this can be underpinned by a best endeavours agreement to ensure each home sold is replaced on a one-for-one basis.
“This ensures that levels of affordable housing in a local area remain at the levels required to house people on a range of incomes, allowing them to provide consistency for their families and make social and economic contributions to their communities.”
DCLG’s Quarterly Right to Buy sales in England
Rentplus was established in 2013. The company is funded by institutional investors, and is the leading provider of affordable rent to buy homes nationally. The Rentplus model offers aspirant home owners the opportunity to purchase their own home through a combination of affordable intermediate rents and a 10% gifted deposit.