RENT HAPPY!

Network Homes is passionate about helping every first time buyer and because it realises it can be tough to raise a deposit, the organisation is offering London Living Rent at some of its developments, which is the perfect way to save and buy.

Funded by the Mayor, the idea behind London Living Rent is to help people switch from renting to shared ownership. It is designed for people who want to build up their savings to eventually buy a home through shared ownership.

Offered on tenancies of a minimum of three years, first time buyers are offered below-market rent and are supported to save and given the option to buy their home on a shared ownership basis during their tenancy. The amount of rent they pay will vary according to where they want to live in London but it is substantially less than private sector rents and the Mayor publishes benchmark levels for every neighbourhood in the capital, which are updated annually. These are based on a third of average local household’s incomes and adjusted by the number of bedrooms in each home.

AM I ELIGIBLE FOR A LONDON LIVING RENT HOME?

To be eligible for a London Living Rent home, you must:

 Live or work in London

 Either have a formal tenancy (for example, in the private rented sector) or live in an informal arrangement with family or friends as a result of struggling with housing costs

 Have a maximum household income of £60,000

 Not own any other residential property.

Network Homes was invited to pilot the rst London Living Rent development at Le Bon Court in Harrow. Over ve years, in a 23-apartment development, three residents now own a par-share in their rented home, ve are in the process of buying a share and a further 10 have gone on to buy their own home elsewhere.

Across London, the average monthly rent for a two bedroom London Living Rent home is around £1,077 a month, almost three-quarters of the average market level. The rent levels are derived from average local incomes and ward-level house prices, with the rent for a two bedroom property generally based on one-third of the local average household income.

Unlike standard 12-month private sector rental agreements, Network Homes offers longer assured shorthold tenancies of up to three years, to give residents peace of mind and security while they save. London Living Rent rental contracts can be renewed, if needed, for up to 10 years after the launch of each scheme, during which time residents will be able to gradually build up their purchase deposit.

Juliana Goode, Senior Build to Rent Manager