Tenants selected for building society’s unique rental scheme

The Cambridge Building Society has selected two tenants by ballot to receive up to 70 per cent of their rent back for a deposit for their first home.

In April it announced that it had invested in two properties - in addition to an existing three - which it would be letting out through what it describes as a unique rent-return housing scheme.

The Rent to Home scheme was launched in 2019 and remains a one-of-a-kind initiative that gives local first-time buyers 70 per cent of their rent back after three years to use as a deposit to buy a property, which conventional renting might otherwise prevent them saving for. 

The Cambridge’s first properties were flats it already owned – two above its Great Shelford branch, and a third flat above the Cottenham branch - which were let out in 2019 and 2020. Now two family houses have been added to the portfolio.

The first two Rent to Home tenants have already received their 70 per cent back and moved into their own homes in July last year. A third moved into the flat above its Cottenham branch in 2020 and will complete his tenancy this year.

Now two more applicants have been selected. They will be able to rent the properties for a maximum of three years, after which they will receive up to 70 per cent of the rent back as deposit for their own property, as well as a Cambridge mortgage.

Society spokesperson Carole Charter says: “It was delightful to be able to draw this ballot, knowing that it will eventually change the lives of the new tenants.

“Saving for a deposit of thousands of pounds is a challenge and that’s why we committed to supporting more first time buyers by investing in these properties.

“It’s been fantastic to watch our previous renters get the keys to their own homes because of their ‘Rent to Home’ success and we’re really looking forward to making a difference for our latest lucky winners.”