Right to Buy - stages of your application


 

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Initial request for information

We will give you an information pack that explains the Right to Buy process.  Your pack will include your claim form, RTB1, and we will give you advice about how to fill it in.  We will send you an acknowledgement letter within seven days of receiving your completed Right to Buy application form.

Landlord's response notice – RTB2 admitting your Right to Buy

Our Right to Buy team will send you a notice (RTB2) informing you that you have the Right to Buy your council home within four weeks of receiving your completed claim form RTB1 (or eight weeks if we need more information to confirm your tenancy with a previous landlord).

If you do not have the right to buy, we will tell you why we have turned down your application.  If you still do not understand the reason, you should ask us for a further explanation.  If you disagree with our explanation, you can get advice from a Citizens Advice Bureau, the Department for Communities and Local Government or a solicitor.

If the property is set aside for elderly or disabled people, you have the right to appeal against this decision to the Residential Property Tribunal Service.  Details about how you can appeal are on the back of the RTB2.

How does the Council value my home?

Newcastle City Council’s Property Services team will contact you by telephone to make a valuation appointment.  If they are unable to contact you, the Right to Buy team will write to you giving you three working days to contact Property Services to make a valuation appointment. All our valuers carry personal identification with them.

Once we receive your valuation report and we have all the information we need we will send you your section 125 offer notice to you by post.

Other companies do not represent Newcastle City Council or Your Homes Newcastle.  If you are approached by a person or company offering to help you buy your home, ask for identification, check out what’s in it for them and talk to us before signing up to any deal.  You could be signing for services that are free from us.

What type of valuation is it?

Newcastle’s Property Services team will carry out a visual inspection only to work out the value of your home.  The valuation we carry out is not a structural survey.

Your purchase price

We will send you an offer notice, called a Section 125 notice.  The offer notice will tell you the price you will have to pay and the conditions of the sale.  We will send you this:

  • within eight weeks if it is a freehold property (normally a house or bungalow)
  • within twelve weeks if it is a leasehold property (normally a flat or maisonette).

Unhappy with your price?

If you disagree with the valuation set by the council, you can appeal to the District Valuer to re-value your home.  We will arrange this for you and you must apply in writing to the Right to Buy section at Your Homes Newcastle within twelve weeks of receiving the Section 125 Notice.  

The District Valuer can, if he wishes, agree with the landlord's valuation and leave the valuation the same, lower it or raise it.  The valuation the District Valuer puts on the property will be the final valuation.  The Section 125 Notice will list any structural defects that we are aware of.  It is advisable at this stage to get an independent structural report from a qualified surveyor or structural engineer.

Getting a survey

Before you decide to purchase your home you should obtain an independent survey from a qualified surveyor or structural engineer or architect.  When you apply for a mortgage the bank or building society will carry out their own survey but this is only for valuation purposes and may not reveal any existing structural problems.

You should have a survey done after you receive your offer price.  There are two main types of surveys you can have:

  • RICS/ISVA Home Buyers' survey and valuation
    This is a report and valuation in a standardised format to indicate all significant defects, but not minor ones.  This level of survey is normally adequate for most properties, and also gives an indication of the value of the property.  Please note:  this valuation does not replace that of the Council surveyor or District Valuer.
  • A building survey
    This involves a more detailed examination of all the visible parts of the property.  It may be wise to choose this level of survey if your property is old or obviously in need of repair.  It may also be a sensible option if you are considering making any alterations to the building.

Homes designated as defective

Certain types of houses and flats have been designated as defective under Part XVI of the Housing Act 1985, and Your Homes Newcastle must tell you of this before you buy if it applies to your home.  Any such property may be difficult to sell at a later date as this makes it difficult to get a mortgage.  If your property falls under this category you must think very carefully before buying, and if you do decide to buy it is important to get a full structural survey first.

Proceeding with the purchase

You must tell the Right to Buy team in writing by returning your completed acceptance form within twelve weeks of receiving your offer price. You must complete all of the acceptance form including:

  • solicitor's name and address
  • how you are funding your purchase; for example, mortgage
  • name of mortgage lender.

If you proceed with the purchase, this is the time to arrange a mortgage and also a solicitor or licensed conveyancer.

If we do not hear from you within twelve weeks of the date of your offer notice, we will send you a reminder.  You will than have a further twenty-eight days to contact us.  If you do not contact us, we will assume that you no longer want to buy your home.

You can withdraw your application at any time up to the completion of the purchase.

You decide to buy your home

Once you return your acceptance form, we will forward it to our Legal Services Department; we will write to you confirming we have done this. 

Our Legal Services Department will draw up the legal documentation and send it to your solicitor.  If you do not tell us your solicitor's name and address, we will send the legal documents to you.

Delays on the purchaser’s part

Once our Legal Services Department have sent your legal documents to your solicitor, and you have had your offer notice at least twelve weeks, we will send you a warning notice. This will ask you to complete your purchase within fifty-six days.

If you do not complete your purchase within the fifty-six days, we will send you a second notice.  If you have not bought your home at the end of this period, we will withdraw your application.

You may decide you no longer want to buy your home. You have the right to withdraw at any point up to completion of the sale. You must do this in writing.

Delays on your landlord’s part

Most Right to Buy sales go through quickly and smoothly, although there are occasionally problems or delays, the causes of which may be out of our control.  However, if we do not meet our statutory obligations, there are options available to you as the purchaser. 

Firstly, if we do not send you the RTB2 Form or Section 125 Notice within the statutory time limits, you may be entitled to a reduction in the purchase price.

To claim this reduction you must first fill in an Initial Notice of Delay (RTB6) Form and send it to us.  We then have one calendar month to take the next step in the sale process.  If we do not do this, or if there is no possible action which could speed up your purchase, then we would serve you with a Counter Notice (RTB7).

If the Counter Notice is not sent within the time allowed you can then send us an Operative Notice of Delay (RTB8) Form.  The rent you pay whilst the delay continues will then be taken off the purchase price.  If we delay the sale unnecessarily again you can repeat this procedure.

If there are any other problems with the sale that we are unable to resolve, you can ask the Citizen's Advice Bureau or a solicitor about your rights.