About The Author
Damian is an experienced mortgage broker, founder of NeedingAdvice.co.uk Ltd and company director. With over a decade working as a mortgage broker he has a strong understanding of hard to place mortgage cases. With hundreds of 5 star client reviews. hundreds of repeat clients his work speaks for himself.
He started NeedingAdvice.co.uk as a one man band with the philosophy of putting clients needs ahead of his own. This ethos of offering excellent customer service has helped the business grow over the years. He gets satisfaction on getting cases pushed through to offer stage where other mortgage broker and companies have failed.
Throughout his time as an adviser he has carved out a niche area of advice helping clients with their business protection requirements too. Having helped hundreds of client with Relevant Life Policies, Shareholder Protection Insurance, Keyperson Policies and other important protection requirements of large to small businesses.
At home he is a family man and likes to spend his time with his four children and wife Lisa. He enjoys going on holidays spending time with friends and going for walks.
Are you a council tenant in the UK dreaming of owning your home?
You might have heard of Right to BuyThe right of council tenants to purchase their council. Mortgages with no deposit and wondered if it’s possible for you.
The good news is, it is! The UK government’s Right to Buy scheme allows eligible council tenants to buy their homes at a discount, and many mortgage lenders allow this discount to be used as your deposit.
This means you could potentially secure a Right to Buy Mortgage with no deposit. But what if you’re not a council tenant or don’t qualify for the Right to Buy scheme? You might ask, ‘Can I get a mortgage without a deposit in the UK?’ While it’s less common, there are options available.
Whether you’re looking for Right to Buy Mortgage lenders with no deposit or exploring other no-deposit options, it’s important to understand the terms and seek advice from mortgage experts.
Post Topics
Eligibility Criteria for Right to Buy(RTB) Mortgage Scheme
What is the deposit requirement for the Right to Buy Mortgage?
How We Work
1: We contact you and take down your details, income outgoings, name, address etc.
2: We will research the whole market and email you a detailed quote as well as a list of documents to proceed.
3: You upload the documents and information needed via our channel our online portal.
Eligibility Criteria for Right to Buy(RTB) Mortgage Scheme
To check your eligibility for the Right to Buy mortgage scheme, you can visit ownyourhome.gov.uk and take the eligibility quiz. The recent changes in Housing Association Tenants have affected the qualification criteria for the Scheme for occupants of housing association property. Currently, the RTB scheme is available only in England, where you must have been a public sector tenant for at least three years, and the property you want to buy should be your only or main home.
If you live in Scotland, please note that this Scheme was abolished completely on 31 July 2016, and you can check the Scotland Government website for further details.
The Scheme was also stopped in Wales on 26 January 2019. However, in Northern Ireland, only secure housing executive and housing association tenants still have access to the House Sales Scheme, equivalent to the RTB scheme. You could claim a maximum discount of £24,000, depending on your stay and the purchase price of the property. You must have been a tenant for at least five years in Northern Ireland.
For further information on the Scheme, you can contact for legal advice from specialist advisors. Please note that this information is based on the latest data available and may have changed. For the most accurate and up-to-date information, please visit the respective government websites or contact legal advisers.
What is the deposit requirement for the Right to Buy Mortgage?
All the mainstream lenders have different deposit requirements for RTB loans. Some lenders could only need 5-10% of the deposit regardless of applicable discounts, background or credit status, whereas other lenders could offer mortgages without any deposit.
It is important to note that an RTB mortgage without any deposit means lenders may offer you 100% of the Mortgage and accept the RTB scheme discount as the deposit on the property only if you fit into the lender’s eligibility criteria. For example, if you are a current council tenant for five years and the property value is £250,000, your right to buy discount is £80,900 or 35%. Therefore, it implies that the discounted property purchase price would be £169,100.
Finding a lender willing to offer to accept the RTB discount would not be an easy task. You need to contact a financial broker before starting your application.
What are the potential credit issues that you need to consider before applying for a loan?
Poor credit score when applying for a right-to-buy Mortgage could impact your mortgage application. Please find the list of potential credit issues that you may need to know before starting the application.
- Adverse Credit Overview
- Low/Poor Credit Score
- Mortgage Arrears
- DefaultsMissed payments on credit accounts, which can affect a borro...
- County Court Judgments(CCJs)
- Individual Voluntary Arrangements(IVAs)
- Debt Management Plans(DMPs)
- Bankruptcy
- Repossession
If you have a poor history of bad credit, you don’t need to worry. At needingadvice.co.uk Ltd, we work with specialist lenders who can approve your Right-to-Buy mortgage application.
How to buy a Mortgage with a bad credit history?
Many changes were introduced in 2015 for the Right to Buy Scheme. One of the major amendments was to include Housing Association Properties. The Scheme is beneficial for lower-income tenants who can now start early to get onto the property ladder. The Scheme is also available for individuals who have been council tenants for at least three years but suffer from a bad credit history. Some mortgage lenders have changed their attitude towards tenants with poor credit histories and started adopting new criteria for accessing the credit score. These lenders could be reached through a specialist adviser, such as needingadvice.co.uk Ltd.
Step-by-Step Process
- The first step is to contact a specialised mortgage broker who will help you with the right-to-buy mortgage application.
- The Mortgage Advisor will access your application and check your eligibility for the mortgage application.
- After that, you will start your mortgage application by submitting it to the Housing Council, which could take approximately four weeks in documentation review before the council appoints a local surveyor to check the value of your property.
- In the next step, the appointed surveyor returns the valuation report to the council, which then produces a right-to-buy offer.
What to do Now?
The whole process could take up to 4 to 8 weeks, and the council tenant would have 12 weeks from the offer issue date to take up the offer or reject it. Please also note that the council has limits for the right to buy offers per tenant, so it’s better to accept the offer produced by the council and get onto your property ladder. Approximately two million tenants have taken the benefit of this Right to Buy Scheme since the start. The Scheme enables them to claim a maximum discount on a council property for a household. Buying a property is a big decision in life and should not be taken lightly. It is important to start your mortgage application with a piece of expert advice. At needingadvice.co.uk Ltd, we can help you with the best and most suitable financial advice for your Right to Buy Mortgage Application with the lowest deposit possible. Feel free to contact us and book your first appointment.
How We Work
1: We contact you and take down your details, income outgoings, name, address etc.
2: We will research the whole market and email you a detailed quote as well as a list of documents to proceed.
3: You upload the documents and information needed via our channel our online portal.
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