Tenants’ Right to Buy at a Discount: Is It Fair to Landlords?

Tenants’ Right to Buy at a Discount: Is It Fair to Landlords?

9:14 AM, 3rd September 2024, About 14 hours ago 5

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In this episode of Property Breaking News, Ranjan Bhattacharya and Andrew Roberts examine the contentious proposal of tenants’ right to buy at a discounted rate, a policy once championed by Jeremy Corbyn in his manifesto.

While selling directly to tenants can be a convenient option for landlords, concerns arise when the sale is forced below market value. Who determines what is ‘reasonable,’ and how does it compare to the open market value (OMV)? We explore the implications for landlords, tenants, and the property market as a whole.


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robert fisher

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10:31 AM, 3rd September 2024, About 13 hours ago

scaremongering again ! Right to buy does not apply to private sector landlords, it only applies to public sector landlords and council tenants.

nekillim200

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11:04 AM, 3rd September 2024, About 12 hours ago

At the moment!

JB

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11:13 AM, 3rd September 2024, About 12 hours ago

Who is proposing this?

The Forever Tenant

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12:29 PM, 3rd September 2024, About 11 hours ago

From what I can see, there was no actual proposal of this.
I went and checked the 2017 and 2019 manifestos and neither mention a private tenant being given to purchase the property from the landlord. They actually pledge to remove the right to buy for council tenants.
The closest thing I can find along these lines is in the 2019 manifesto where it states that councils would be given funding to be able to purchase houses from private landlords. The entirety of the text is "we will give councils the powers and funding to buy back homes from private landlords."
Looking back, it was something suggested by John McDonnell in an interview with the Financial Times but it never went anywhere past that.

EDIT: Looking back further still, it was mentioned by Jeremy Corbyn as part of his leadership bid in 2015.

Though there is mention of "discounted rates" as there was never an official policy, its difficult to say what landlords would have received.

Paddy O'Dawes

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17:06 PM, 3rd September 2024, About 6 hours ago

Would be a good idea if it was equitable. Discount to tenant of 50% of the CG liability if sold on the open market and removal of the remainder of the liability for the LL selling at the discount. Everyone wins apart from HMRC.

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