These are properties that are sold at a discount. We deal with the majority of discounted sales.
How does it work?
These are the discounted sale prices for affordable properties in South Lakeland, they are reviewed each year.
One bed flat: £73,500
Two bed flat: £84,000
One bed house/Bungalow: £89,250
Two bed house/Bungalow: £99,750
Three bed house: £115,500
Four bed house: £131,250
When an affordable property is built, it is valued.
The difference between the valuation and the prices above is then worked out as a percentage. This becomes the discount percentage that will be applied to the property, every time it is sold.
For example, we have set the price for an affordable three bed house in South Lakeland as £110,000, this is what the buyer pays.
When the chartered surveyor values the house he thinks it is worth £220,000. To sell it at £110,000 means that it is being sold at a 50% discount.
Every time the property is sold, it is valued by a chartered surveyor and this 50% discount is applied.
These properties will be sold at a discount for the life of the property.
Resales of discounted properties
Adverts for affordable properties have to specify that they are affordable.
They are not allowed to be marketed or sold over the discounted price.
Look out for phrases like, "subject to section 106", "affordable property" or "offered at a percentage of the market value".
This usually means they are part of the affordable housing scheme.
For more information please contact the affordable housing officer on 01539 793 377.
Home ownership one stop shop
The government has launched a new home ownership website aimed at helping people identify what type of affordable housing scheme could be suitable for them.