Rent-to-buy schemes provide an affordable home ownership route for tenants. Under the terms of the arrangement, relevant landlords will let a property at a discounted rate of rent (no more than 80% of assessed market rent, inclusive of service charges) for a set period, on the expectation that tenants will use these rent savings to build up a deposit. At the end of the period, the tenant will be offered the opportunity to purchase the property at a price no more than market value before it is offered for general sale.
	Private registered providers of social housing will be able to use this new selling ground to ensure that rent-to-buy schemes continue to be viable in the new tenancy system. The ground will provide them with a mechanism to gain possession to either sell the property or re-let to a different tenant on an assured tenancy (whether on rent-to-buy terms or not) at the end of the scheme, in line with the terms of the agreement.
Schedules Schedule 1: Changes to grounds for possession New ground for possession after rent-to-buy agreement (1B) Background