Renting Out Your Affordable Property
Can I Rent Out My Discount for Sale Property?
Not automatically.
Discount for Sale properties are intended to be occupied by the qualifying owner as their only or main residence.
You must not:
- Rent out the property
- Use the property as a holiday home
- Allow occupation by someone who does not meet the affordable housing requirements
without first obtaining the necessary approvals.
The property remains subject to the affordable housing restrictions contained within the Section 106 Agreement for its lifetime.
Properties with Older Agreements (UDP)
Many older affordable homes were approved under previous planning policies and are subject to a UDP Section 106 Agreement.
These properties cannot normally be rented out.
If you wish to rent out a property with a UDP agreement, you will need to:
- Update the agreement to the current LDP allowing the property to operate as an Intermediate Rent dwelling.
Properties with Current Agreements (LDP)
Properties approved under the LDP can be changed from:
Discount for Sale (DFS) to Intermediate Rent (IR)
Before the property can be rented out:
· An application to modify or discharge the planning obligation must be submitted.
· The legal agreement must be updated.
If Your Property Is Approved for Intermediate Rent
Once approved as an Intermediate Rent property:
· The landlord must be a member of Landlord Accreditation Wales.
· The rent must be set in accordance with the Council's Intermediate Rent Levels and Income Bands Table.
· The tenant must satisfy the Intermediate Rent eligibility requirements.
· Supporting evidence must be checked before the tenancy begins.
➡ See the Affordable Housing Supplementary Planning Guidance (SPG) and Affordable Housing Help Sheets for current rent levels and qualifying income bands.
Costs
Changing an affordable housing agreement requires a formal application process and legal work.
Updating a UDP Agreement to an LDP Agreement
This will normally require:
· An application to modify or discharge the planning obligation. No fee
· A Section 106 legal charge. See Council Fees and charges
Converting from Discount for Sale to Intermediate Rent
This will normally require:
· An application to modify or discharge the planning obligation. No fee
· A legal variation to the existing Section 106 Agreement Charge. See Council Fees and charges
Current Fees and Charges
For the latest fees & charges, please see:
➡Budgets & Finance - Ceredigion County Council