Affordable housing - discount market sale scheme customer information guide
Selling a property purchased under the Discount Market Sale scheme
To keep houses affordable, when you sell your Discount Market Sale or First Homes home you must pass your original discount from local market value onto the next purchaser. The Section 106 agreement attached to a Discount Market Sale or First Homes property will normally provide the information needed to sell your house. It will set out the discount which should be applied and who can buy the property (eligibility criteria). Whilst the discount is in perpetuity the eligibility criteria is time restricted. The agreement can be found in the Land Registry documents relating to your property.
Before marketing a discounted property, the owner must notify the Local Authority of their intention to sell. Please email strategichousing@stockton.gov.uk to notify the Strategic Housing Team of your intention to sell the property and they will aim to confirm receipt of your email within two working days.
Before approaching an estate agent to market the property a sale price needs to be agreed by Stockton-on-Tees Borough Council's Land and Property team. To do this you will need to request a valuation of the home to be completed by a Valuer registered with the Royal Institute of Chartered Surveyors (RICS). Find a surveyor. The valuation must state both the open market and discounted market sale figures and must be dated within the three months of the date it is reviewed by Stockton-on-Tees Borough Council. You are responsible for the cost of this valuation. Once the valuation report has been produced a copy needs to be emailed to strategichousing@stockton.gov.uk for review.
When Stockton-on-Tees Borough Council confirm that they accept the valuation, a maximum sale price will be agreed, ensuring that the correct discount is applied. The marketing publicity must stipulate that the property is an affordable home, subject to a Section 106 agreement and that buyers must meet local eligibility criteria (during the notice period) and be approved by Stockton-on-Tees Borough Council. A copy of the Customer Guide should be provided to any prospective purchaser of Discount Market Sale or First Homes properties.
