What Is London Living Rent?
London Living Rent is a government-backed initiative, designed to help middle-income households onto the property ladder. Funded by the Mayor of London, the scheme offers rental properties at below-market rates, with the savings going towards a deposit for buying a home through Shared Ownership. London Living Rent properties are typically priced 30% lower than the average local private rental prices, making them a more affordable housing option.
Eligibility Criteria
London Living Rent is aimed at middle-income households who want to save money they can put towards buying a home. To be eligible for the scheme, you must:
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Live or work in London
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Either have a formal tenancy (for example, in the private rented sector) or live in an informal arrangement with family or friends due to struggling with housing costs
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Have a maximum household income of £67,000
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Not own any other residential home
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Be unable to currently buy a home (including through Shared Ownership) in your local area.
How to Find London Living Rent Properties
Start your London Living Rent property search by exploring our developments. When you see an available apartment that suits your needs, you can register your interest to receive more information.
London Living Rent FAQs
Eligibility for London Living Rent can vary but, generally, you must meet the above criteria. Factors like your current housing situation and the size of your household may also be assessed to determine eligibility. If you have a specific query about a London Living Rent property from Southern Housing New Homes, contact our team for assistance.
Yes, as long as you meet the London Living Rent eligibility criteria, you can apply for the scheme. You may be asked to provide additional paperwork, such as SA302 forms for previous tax years, as proof of income and to demonstrate affordability.
London Living Rent tenancies are typically an Assured Shorthold Tenancy for a minimum of three years and up to a maximum of 10 years. However, the exact duration of your tenancy can vary depending on the specific development or property. It's important to review the terms of your tenancy agreement to understand the length of your rental commitment.
Your monthly rent will depend on where you live in London. Every year, the Greater London Authority (GLA) sets benchmark rent levels for London Living Rent properties in each ward. These are based on a third of average local household incomes and adjusted based on the number of bedrooms in a home. Plus, the rent for any given home must be at least 20% lower than its assessed market rent. This means that, in most areas, London Living Rent homes are offered with a significant discount in comparison to market level rent, ensuring affordability for eligible tenants.
Your rent may increase annually in line with the CPI rate of inflation. The GLA's review of the rent level benchmarks may also result in a yearly rent increase.
If you choose not to buy the home within 10 years, the specific terms of your tenancy agreement will dictate what happens next. It's possible that you may continue renting the property at a London Living Rent rate. Alternatively, you may be required to move out, and the property may become available to another eligible applicant. The exact terms can vary, so it's essential to carefully review your tenancy agreement to understand your options and obligations.