Nearly 40% of all ex-council flats sold under the Right to Buy in England are now almost certainly being rented out privately.
In one local government area, almost 70% of former council flats bought under the Right to Buy discount now appear to be in the hands of private landlords.
Figures were obtained using Freedom of Information requests from 91 councils by the magazine Inside Housing.
They show that 37.6% of all ex-council flats in England appear to be let privately at market rents.
The councils revealed they have sold a total of 127,763 leasehold properties, with 47,994 owners living at another address – an indication that the home is being let.
The research showed that in six areas, more than half former council flats are now almost certainly being let privately. Milton Keynes, at 69.6%, has the highest proportion.
The research comes as the sale has been announced of a two-bedroom ex-council flat for over £1.2m – breaking new records.
The 1,118 sq ft property, below, was sold through Barnard Marcus not by an investor but by the former council tenant who bought it at a discount under Right to Buy in 1990 for just £130,000.
Barnard Marcus sold the Covent Garden ex-council house after six weeks on the market for £1,210,000.
Its asking price was £1.35m.
The sale comes just a few months after the previous record was set, by an ex-council house above a shop on Fulham Road, London (granted the shop was a Stella McCartney store). That was on the market at £1,150,000.
The Green Party has called for Right to Buy to be phased out as a direct result of the revelations in Inside Housing, a magazine dedicated to the social sector.
and this is why we have a housing crisis, so the smartest thing to do by this Government would be to roll out Right to Buy again
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I hadn’t spotted this article earlier – so forgive me for simply cutting and pasting earlier comments which are more relevant here than on the other storyline
In response to a comment from ‘Anonymous Coward’, who stated
“…I started as a junior neg in Hackney back in 1991 and sold 3 bed terraced houses for £50-60k. Those same houses are selling for £900,000 or more now – which is bonkers.”
I said
“Now this is interesting info, AC – and puts a different slant on the ******** that’s being chucked at the wobbly old fan down the other pub.
They’re making a merry old song and dance about the ex-council flat in Covent Garden that has just sold for 9.3 times its’ previous purchase price, made under the RTB scheme way back in 1991.
When you take into account the fact that the flat was ‘discounted’ by probably 50%, then the increase which is being described by the sozzled locals as “ridiculous”, “crazy” and the sellers doing “absolutely nothing to warrant it!” (how the poster can possibly know THAT is beyond me…) – it shows that they should have bought TWO of your properties and would have made virtually TWICE the profit for LESS outlay.
Now – someone remind me – where’s the problem?”
Same question applies.
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