Intermediate Rent

What is social housing?

The Housing and Regeneration Act 2008, s69-70, defines Social Housing as follows:

  • “Low cost rental
    1. Accommodation is low cost rental accommodation if:
      1. it is made available for rent,
      2. the rent is below the market rate, and
      3. the accommodation is made available in accordance with rules designed to ensure that it is made available to people whose needs are not adequately served by the commercial housing market.
  • Low cost home ownership
    1. Accommodation is low cost home ownership accommodation if the following conditions are satisfied.
    2. Condition 1 is that the accommodation is occupied, or made available for
    3. occupation, in accordance with:
      1. shared ownership arrangements,
      2. equity percentage arrangements, or
      3. shared ownership trusts.
    4. Condition 2 is that the accommodation is made available in accordance with rules designed to ensure that it is made available to people whose needs are not adequately served by the commercial housing market.”

What is the difference between market and social rented housing?

Types of housing between market and social rented housing are described as ‘intermediate’ and include:

  • Intermediate rented homes are provided at rent levels above those of social rented but below private rented.  Usually rent is charged at between 60% and 80% of the local market rent.
  • Discounted sale homes have a simple discount for the purchaser on its market price, so the purchaser buys the whole home at a reduced rate.
  • Shared equity is where both the purchaser and Poplar HARCA have an interest in the value of the home. There may be a charge on the loan, and restrictions on price, access and resale.
  • Shared ownership is a form of shared equity under which the purchaser buys an initial share in a home from a housing provider, who retains the remainder and may charge a rent. Poplar HARCA has a separate policy covering its provision of Shared Ownership.

Am I eligible for intermediate rent?

To be eligible for any intermediate option the applicant must:

  1. complete an application form;
  2. register with the zone agent;
  3. have a household income less than £60, 000 (this amount may be varied from time-to-time in-line with prevailing Government guidance);
  4. be otherwise eligible for the Tower Hamlets Common Housing Register;
  5. not be able to rent or buy a suitable home on the local open market and so meet the aim of Poplar HARCA’s Charitable Objects which state that our homes are available to “persons in necessitous circumstances” ;
  6. sell an existing property if one is owned;
  7. have a good credit history; and
  8. if applying for a home ownership scheme:
  1. be able to afford the associated costs of buying a home;
  2. be able to get a mortgage from a building society, bank or other reputable source of finance;
  3. be prepared to give evidence of financial and employment circumstances to an Independent Financial Adviser who will make recommendations to us.

On what basis can I get Priority Preference?

If there are more applicants than homes available preference will be decided according to:

  • any s106 agreement criteria agreed with the local authority including designated key workers
  • the Tower Hamlets Common Housing Register Lettings Policy community group priority criteria
  • those best able to proceed with the sale as they have their finances in place
  • Poplar HARCA residents

What will happen after I apply for Intermediate housing option?

We will register the details of anyone interested in intermediate housing options on a database.

We will also refer interested applicants to the Zone Agent so that they do not miss out on other providers’ re-housing opportunities.

For further information, contact a Housing Manager 0800 035 1991

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