Different housing options

In the UK there are different types of housing that you can rent or buy.

If you’re serving, you may currently live in Service Family Accommodation, known as SFA, or Single Living Accommodation, known as SLA. These are subsidised forms of service accommodation, but you do not own the property. Your entitlement depends on your circumstances, such as whether you have dependants.

If you’re renting in civilian housing – for example as a reservist, veteran, spouse, partner, or family member – you may rent from a private landlord. You can also rent from a housing association or in some areas, you may qualify for council housing. Both are in high demand and depend on your eligibility.

Some homes can be lived in under an arrangement called shared ownership. Shared ownership is a type of housing scheme designed to make buying a home more affordable, especially for first-time buyers.

Instead of buying 100% of a property, you buy a share, usually between 10% and 75%. You pay rent on the remaining share to a housing association or developer. It helps people get onto the housing ladder with a smaller deposit and mortgage.

There are different ways to get the right to live in properties, called tenure. Private renting involves passing a “right to rent” check, to prove you have the legal status to live in the UK and rent property. Your landlord will ask for ID, such as a passport, visa or residence permit.

Social housing, also known as council housing, is provided by local authorities, either directly or through landlords, who are paid by the council. Social housing can also be provided by nonprofit housing associations. It is typically cheaper, offers greater security, and may be more accessible if you need adaptations because of a physical disability or other special needs.

You can check if you are eligible by visiting your local council’s website and searching for “apply for social housing” or “housing register.” If in doubt, there are charities that can help you understand what social housing options might be available to you.

When it comes to housing, security is a very important factor and some people have the aspiration to own their home. With home ownership, it is possible to buy a property outright, where you transfer the full cost of the property in one go and become the owner. This is very unusual and most people take out a mortgage. But there also may be specific schemes you can apply for. For example, shared ownership, to buy a portion of a home.

When buying a property, you’ll usually find that they are sold as leasehold, or freehold. You should be given this information when choosing a property, before you decide to make a mortgage application. If not, you should ask.

Freehold means to own a property, including the land it’s built on, with no fixed time limit.

If you buy a freehold, you’re responsible for maintaining your property and land. You should budget for these costs. Owning a freehold property means there’s no one else, no freeholder or landlord to deal with.

Leasehold means owning a property for a fixed amount of time, leasing it from a landlord who owns the whole building, or the land it’s built on. Usually, your lease will be between ninety and nine hundred and ninety-nine years. The length of your lease will be in your lease agreement with the freeholder. When you buy a leasehold property, you’ll take over the lease from the previous owner. When the lease ends, the property goes back to the freeholder.

However, you can pay to extend it. The leaseholder cannot refuse this and there are limits on what they can charge you. You’ll find leasehold properties in most parts of the country, but they aren’t very common in Scotland. Many flats and maisonettes are leasehold. This means that, while you own your property within the building, you don’t own any part of the building it’s in.

You might need to pay monthly or yearly maintenance charges. The repairs and maintenance on a leasehold property are your responsibility, but you’ll usually need to get the landlord’s permission to make any significant changes.

Another crucial consideration when buying a property is the tax on property or land purchases in the UK. If you are in England or Northern Ireland, most property purchases require the payment of something called Stamp Duty. If you are in Scotland it’s Land and Buildings Transaction Tax, and if you are in Wales, it’s Land Transaction Tax. These are all based on a percentage of the property value.

You can get an estimate of this with online calculators. First-time buyers can sometimes get special allowances or exemptions.

There are other additional costs to account for, such as legal fees and valuation costs. You can find out more about these, and Stamp Duty, in our video covering additional costs.

Finding the right housing option depends on your circumstances, your finances, and your long-term goals. *Whether you’re renting, applying for social housing, or looking to buy, it’s worth taking time to understand the choices available. That way, you can make confident decisions and find a home that’s secure, affordable, and right for you.