Estimate your possible Right to Buy discount and purchase price in seconds. Enter your details below to get an instant result.
This is an educational estimate, not legal or mortgage advice. Discount rules can change, and lender criteria vary.
What this Right to Buy calculator helps you estimate
If you rent from a council or another eligible social landlord, Right to Buy can reduce the price you pay to purchase your home. This calculator gives you a practical estimate of:
- Your potential discount percentage based on tenancy length and property type
- The cash discount amount after applying the regional maximum cap
- Your estimated purchase price after discount
- A rough deposit, loan size, and monthly payment projection
It is designed to help you plan early, compare scenarios, and have better conversations with mortgage brokers and housing advisors.
How the Right to Buy discount is estimated
1) Qualifying period
In this calculator, you become eligible for discount calculations after 3 qualifying years. If your tenancy years are below that threshold, the tool shows that discount is not yet available.
2) Property type rules
- House: 35% discount after 3 years, plus 1% for each extra year
- Flat/Maisonette: 50% discount after 3 years, plus 2% for each extra year
- Maximum percentage: 70%
3) Regional discount cap
Even if your percentage-based discount is very high, there is still a cash cap. This is why many buyers in high-value areas hit the cap before reaching the full percentage benefit.
4) Mortgage estimate
After estimating the discounted purchase price, the calculator subtracts your chosen deposit and then applies a standard repayment mortgage formula to estimate a monthly payment.
Example scenarios
Scenario A: House, long tenancy, outside London
A tenant with 18 qualifying years buying a house gets:
- Base 35% discount, plus 15 extra years at 1% each = 50%
- If the home is worth £220,000, gross discount = £110,000
- Outside London cap (£102,400) applies, so discount becomes £102,400
- Estimated purchase price = £117,600
Scenario B: Flat in London
A flat owner with a long tenancy can quickly reach high discount percentages, but the London cap may limit the cash discount. That means your headline percentage looks generous, but the actual savings stop rising once the cap is hit.
Costs people often forget
Discount is only one part of affordability. Before committing, plan for all ownership costs:
- Solicitor and conveyancing fees
- Survey and valuation costs
- Mortgage arrangement fees
- Buildings insurance
- Repairs and maintenance reserve
- For flats: service charges and major works contributions
For many first-time buyers, ongoing costs matter more than the initial deposit.
Right to Buy planning checklist
- Check your eligibility and qualifying tenancy history
- Request an up-to-date valuation and offer details from your landlord
- Review your credit file early and fix errors
- Stress-test your monthly budget at higher interest rates
- Compare lenders that accept Right to Buy applications
- Ask for independent legal and financial advice before signing
Frequently asked questions
Does this calculator guarantee my actual discount?
No. It gives an estimate based on common discount rules and caps. Your landlord’s official offer is the final figure.
Can I use my discount as a deposit?
Some lenders allow this structure for Right to Buy mortgages, but lending criteria vary. Always confirm with a broker or lender.
What if interest rates change?
Your monthly payment estimate will change. Use the calculator with multiple rates (for example 4%, 5%, 6.5%) to test affordability.
Final thoughts
A Right to Buy purchase can be a powerful step toward long-term security, but only if the numbers work after all costs are included. Use this calculator as a starting point, then validate your plan with official documents, a qualified mortgage advisor, and a solicitor.