Right to Buy in Scotland

Every month, more & more Scottish authorities are applying to have your legal Right to Buy removed or suspended.

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The Housing (Scotland) Act 2001 introduced significant changes to the right to buy for new tenants of local authorities and registered social landlords. In particular the Act introduced the modernised right to buy, which applies to new tenants from 30 September 2002. This modernised right to buy has a maximum discount of 35% or £15,000, whichever is lower. Generally tenants with a right to buy prior to 30 September 2002 will retain the right to buy on existing terms, although this may change if they move house. Tenants involved in stock transfer will have special arrangements in place, which will be discussed as part of the transfer process.

If a landlord has carried out modernisation or significant levels of maintenance on a house in the preceding 10 years, then this can be taken into account in setting the price paid after discount. These are known as the cost floor rules.

Tenants of RSLs are covered by the modernised to buy, but for most tenants this has been suspended for 10 years.

The only way to confirm whether this is the case, and on what terms, is to ask the landlord concerned.

Qualifying Period and Discount Levels

The main difference between the old right to buy and the new modernised right to buy in terms of qualifying periods and discount levels are detailed below.

Provision	Old Right to Buy (1987 Act)	Modernised Right to Buy (2001 Act)
Qualifying Period	2 years	5 years (Tenants must have a 5 year continuous period of occupation of a house or succession of houses with the council before they can exercise their right to buy)
Discounts (The price a property is sold to a tenant for is calculated by the market value minus any discount to which the tenant is entitled)	Different rates of discount for flats and houses Discount starts at 32% for houses and 44% for flats rising to a maximum of 60% for houses and 70% for flats	No distinction between houses and flats Discounts start at 20% and increase by 1% per year up to a maximum of 35% or £15,000 whichever is lower

Right to Buy may be suspended where a tenant has outstanding rent / council tax arrears or is currently facing legal action because of alleged anti-social behaviour.

Right to Buy can also be suspended for a period of up to 5 years in areas designated as “Pressured Areas”. High Pressured Areas are those, in which there is a high demand for rented accommodation and where the continued sale of houses under right to buy is likely to exacerbate the situation.

For more detailed information click on the link below:
Scottish Executive guidance on the right to buy