An introduction to London Living Rent
What is the London Living Rent scheme?
London Living Rent: Overview
Available to eligible renters within the capital, London Living Rent homes are for middle-income households who currently rent and are aiming to build up savings to eventually buy a home through Shared Ownership or outright purchase.
The homes are offered on tenancies of a minimum of three years with below-market value rent, however this can be extended to a maximum of 10 years. Landlords are expected to encourage their tenants into homeownership within a decade, with tenants being given support to save and have the option to buy their home on a Shared Ownership basis during the period of their tenancy. They will also be given extra priority for other Shared Ownership homes across London.
The amount of rent you pay will vary according to where you live in the capital. The Mayor publishes benchmark London Living Rent levels for every neighbourhood on a yearly basis, and these are based on a third of average local household incomes and adjusted for the number of bedrooms in each home. To ensure family-sized London Living Rent homes are affordable, the rent for a three bedroom home will be set at no more than 10% above the two bedroom rent.
London Living Rent: Eligibility
To be eligible for London Living Rent, you must meet certain criteria:
- You must live or work in London. Please note that priority will generally be given to those who live or work in the borough where the property is located.
- You must have a formal tenancy, or live in an informal arrangement with family or friends as a result of struggling with housing costs.
- Your household income must not exceed £60,000.
- You must not already own another home.
- You must be unable to currently buy a home – including through Shared Ownership – in your local area.
To find out more about other home-buying and rental options, visit our article index, or check out our helpful FAQs and guides. Alternatively, you can start your search for a new home on Share to Buy’s property portal today!