Right to Buy explained: discounts, caps and rules

Right to Buy is the scheme that lets most council tenants buy their council home at a discount, according to GOV.UK guidance checked in August 2026. The broad rules cover who can apply, how the discount is worked out, the regional caps that can limit it, the steps in the application, and what happens if you sell soon after buying.

Who can apply

GOV.UK says you can apply if the property is your only or main home, it is self-contained, you are a secure tenant, and you have had a public sector landlord for 3 years, which does not have to be continuous. You can also apply jointly with someone who shares your tenancy, or with up to three family members who have lived with you for the past 12 months. If your home was sold by the council to another landlord while you were living there, you may have Preserved Right to Buy.

How the discount works

The discount depends on the type of property, the value of the home, where you live, and how long you have been a public sector tenant. For houses, GOV.UK says the discount is 35% after 3 to 5 years, then rises by 1% for each extra year after 5 years, up to the maximum discount amount. For flats, it is 50% after 3 to 5 years, then rises by 2% for each extra year after 5 years, again up to the maximum. The overall maximum is the lower of 70% of the property value or the regional cap. For applications after 21 November 2024, the discount is also reduced if the landlord has spent money building or maintaining the home in the last 30 years.

Regional caps

For applications made after 21 November 2024, GOV.UK lists these caps: London £16,000, except £38,000 in Barking and Dagenham and Havering; South East £38,000, with lower caps in some areas; Eastern £34,000; South West £30,000; North West £26,000; West Midlands £26,000; Yorkshire and the Humber £24,000; East Midlands £24,000; and North East £22,000. For applications made before 21 November 2024, the caps were £136,400 in London and £102,400 outside London.

The application process

The application starts with form RTB1. GOV.UK says the landlord must reply within 4 weeks, or within 8 weeks if they have been your landlord for less than 3 years. A district valuer then visits the home, and you have 12 weeks to accept the offer.

Selling after Right to Buy

If you sell within the first 5 years, you may have to repay some or all of the discount. GOV.UK says that means all of it in the first year, then 80% in year two, 60% in year three, 40% in year four and 20% in year five, with the amount based on the home’s value when you sell. If you sell within 10 years, you must first offer the home to your old landlord or another social landlord. If they do not agree to buy it within 8 weeks, you can sell to someone else.

Key facts

Source: GOV.UK - Right to Buy — Guidance checked August 2026

Source: GOV.UK - Right to Buy — Guidance checked August 2026

Source: GOV.UK - Right to Buy — Guidance checked August 2026

Source: GOV.UK - Right to Buy — Guidance checked August 2026