The right to buy - own your own home

"We will help every Council Tenant to become Home Owners"With these historic words Margaret

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Thatcher initiated an equally historic concept of council right to buy scheme. However, the groundwork for this scheme had been laid much before in the 70s under the reigns of the labour government.

The council right to buy scheme, without being embroiled in any controversy regarding who set off the council right to buy scheme, was indeed momentous. It led many people, who would never have thought (capable would be a more appropriate word to describe their situation) to have their own homes.

So what is council right to buy scheme? Council right to buy scheme is a scheme under which the council tenants are eligible to buy the house in which they have been living.

Therefore, what is that which distinguishes the council right to buy scheme from the other schemes? It is different because the customer would have to pay much lesser than what he would have paid had he bought the house in the open market. This is because ( life insurance quotes ) the customer is entitled to a discount for the number of years that he was staying in the house as a tenant.

The rate of discount varies with the type of residence and the location of the residence. A person residing in a house will be eligible for a discount of up to 30% with a further discount of 1% for every year lived as a tenant of the house. In cases of flats or maisonettes the rate of discount ranges from 44% to 70%, but not exceeding £38,000. The maximum rate of discount is admissible only in a few localities like the posh London and the Southeast areas of England.

To avail the scheme one must be a council tenant. A council tenant is a secured tenant who has been living since 5 years or more (the limit has been changed from 2 years with ( life assurance ) effect from 18th January 2005) in any of the following:

.District council

.London borough council

.Non-charitable housing association or other registered social landlord

.Housing action trust.

.County council or another similar body

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