Affordable housing - discount market sale scheme customer information guide

Discount Market Sale housing is a type of affordable housing which is sold at a discount of at least 20% below local market value. A similar product called "First Homes" offers a minimum of 30% discount below market value for properties purchased in Stockton.  

Purchasing a Discount Market Sale home can be done either directly from the House Builder, through a Registered Provider (sometimes referred to as Housing Associations), or through the re-sale of an existing Discount Market Sale property through an Estate Agent. Discount Market Sale properties available for purchase are usually advertised through on-site sales offices, marketing boards on site, through the websites of House Builders and Registered Providers and Estate Agents.   

Purchasers own 100% of the property but pay a discounted price on purchase. The discount applied remains for the life of the property and the discount must be passed on to each successive qualifying purchaser. This discount is referred to as "discount in perpetuity". The owner of a Discount for Market Sale dwelling has the same responsibilities as any other property owner including responsibility for all repairs and maintenance costs. The property cannot be sublet; it must be the purchaser's main residence.  

Any purchaser of a Discount Market Sale Scheme dwelling is subject to specific legal requirements which ensure their home is discounted in perpetuity and therefore each subsequent resale is subject to the same percentage discount. The discount at time of re-sale is based on a revised and updated valuation which needs to be submitted for approval to strategichousing@stockton.gov.uk prior to any forward sale being agreed. Any prospective new purchaser within the twelve week notice period also needs to meet the eligibility criteria as outlined in this Customer Guide.

To request a PDF copy of the guide please email strategichousing@stockton.gov.uk.