Reviewed and updated: 17 October 2026. Original archive publication date retained.
Rent to Buy in England is designed to help eligible tenants save for a deposit by charging rent below the local market level. The government describes the discount as normally 20% below market rent. It should not be confused with a promise to sell the property below market value.
Understand the arrangement
The reduced rent creates an opportunity to save, but the tenant still needs to meet the terms of the tenancy and the scheme. The property provider can explain availability, the application process and the arrangements for a possible purchase.
Government eligibility guidance includes being in full-time or part-time employment, being a first-time buyer and being able to pay rent while saving. There are exceptions and additional provider criteria, so check the current rules rather than relying on a general summary.
Plan the next step
Before accepting a home, ask how long the discounted tenancy lasts, how rent is reviewed and what happens if you are not ready to buy. Establish whether a later purchase would be through outright ownership or another arrangement.
Saving a deposit does not guarantee mortgage approval. Affordability and lending criteria still need to be assessed when buying.
London has different arrangements, and schemes elsewhere in the UK should be checked separately. Keep the written terms so that the rent discount, savings goal and purchase options remain distinct.