Explanation of Affordable Rent
Affordable Rent is intended to help those who would not otherwise have been able to afford housing in the private sector. It is designed to provide an alternative to traditional social rent and the additional rental charges help registered providers (organisations that provide affordable homes such as councils and housing associations) to build more homes to improve access to social housing.
The difference between Social Rent and Affordable Rent is that Affordable Rent will be slightly higher as it allows the landlord to charge up to 80% of market rent levels within the local area. But these rents will still be low and affordable. However, landlords may carry out a financial assessment as part of their shortlisting process to ensure it is affordable to each applicant, before they will proceed with an allocation.
In most cases, where applicants are eligible to receive Housing Benefit or the housing element of Universal Credit, the rent would be covered by this payment. For more information about the Local Housing Allowance rates in each local authority area please visit the relevant council’s website.
Affordable Rented properties will be allocated in the same way that Social Rented properties are now through HomeOption and there will be no change to the services tenants will receive.
Affordable Rents will only apply to new development or converted void properties and will not apply to all social housing.
Because the partner landlords are only applying these rents to a percentage of properties, from time to time you may see two identical properties in the same street advertised at two different rents.