Guide to London Living Rent
London Living Rent is a type of intermediate affordable housing scheme for middle-income Londoners, helping them transition from renting to buying a home.
This scheme is funded by the Mayor of London and offers reduced rents so renters can save to buy through Shared Ownership.
What is London Living Rent?
Introduced by the Mayor of London, London Living Rent is a government-backed scheme that enables Londoners to rent a home at a discounted rate of up to 50% less than comparable homes on the open market, with the saving made each month going towards buying a home through Shared Ownership.
The aim of London Living Rent is to support middle-income buyers to get onto the property ladder and purchase their own homes. It’s designed to allow renters to save at their own pace over a period of years, as properties under London Living Rent guarantee tenants an assured shorthold tenancy of a minimum of three years and a maximum of ten.Guide to London Living Rent
How much rent will I pay for a London Living Rent home?
How much rent you pay differs based on where in London you want to live and the size of the property you are looking to live in. The average monthly rent, across London, for a 2-bedroom London Living Rent home is approximately £1,077 per month, which is almost three quarters of the median average market rent.
The Mayor publishes benchmark London Living Rent levels for every neighbourhood in London, which are based on a third of average local household incomes and adjusted for the number of bedrooms in each home.
In most boroughs, this will be a significant discount to the market level rent.Guide to London Living Rent
Am I eligible for London Living Rent home?
Eligibility for London Living Rent is restricted to Londoners that either have a formal tenancy (for example, in the private rented sector) or live in an informal arrangement with family or friends as a result of struggling with housing costs.
In addition, eligibility is restricted to households with a maximum gross household income of £60,000 and those who are not currently able to purchase a home (including through shared ownership) in the local area.
Key eligibility criteria:
- Live or work in London
- Have a formal tenancy (for example, in the private rented sector) or live in an informal arrangement with family or friends as a result of struggling with housing costs
- Have a maximum household income of £60,000
- Not own any other residential home
- Be unable to currently buy a home (including through Shared Ownership) in your local area
When funded through the GLA’s Affordable Homes Programmes, London Living Rent is expected to actively support tenants into home ownership within ten years.
London Living Rent - a route to home ownership
London Living Rent homes give tenants the chance to put themselves on a pathway to home ownership. Housing providers, like Peabody New Homes, are expected to take into account prospective tenants’ ability and desire to save as part of the affordability assessment. They will also support tenants into home ownership within ten years.
In most cases, London Living Rent tenants will be offered their current home on Shared Ownership terms at any time during the tenancy. If tenants do not take up this right within ten years, the provider would be expected to sell it to another eligible purchaser on a Shared Ownership basis.Guide to Shared Ownership
London Living Rent at Macfarlane Place
Part of the iconic Television Centre development, W12, Macfarlane Place sits within the new West London community and destination: White City. A stylish collection of 1 & 2 bedroom apartments available through London Living Rent and Shared Ownership. Featuring contemporary kitchens, modern fittings and fixtures, spacious carpeted bedrooms and private outdoor spaces, the development also benefits from a landscaped communal podium garden.
White City is a true West London destination with excellent transport connections, unrivalled retailing, world-class education facilities, a wealth of social and cultural establishments and an established employment hub.Learn more about Macfarlane Place
Find your dream home
At Peabody New Homes, we have homes available to buy throughout London, the south east and Home Counties. Use our property search to discover a home for you and to register your interest.