Your guide to intermediate rent
Intermediate Market Rent (IMR) offers new build homes with discounted rent. Homes are available from Futures Housing Group on an assured shorthold tenancy*, usually for an initial period of six months.
IMR homes are let via our commercial lettings business Limehouse, although your tenancy agreement will be in the name of Futures. IMR homes are usually let on an assured short hold tenancy basis with a minimum six month contract period and up to a maximum of five years.
Not everyone qualifies for IMR properties, so you have to go through eligibility and affordability checks when you apply.
An assured shorthold tenancy (AST) is the most common type of tenancy if you rent from a private landlord or letting agent.
To find out more about ASTs, visit https://www.gov.uk/tenancy-agreements-a-guide-for-landlords/tenancy-types
Am I eligible for an IMR property?
Everyone who applies for an IMR property has to meet the elegibility criteria and this is assessed by your local Homebuy agent. To qualify, you must:
• be registered with a local Homebuy agent
• have a total household income of less than £80,000 a year
• be able to afford a suitable property on the open market
• be able to afford to pay your rent without help (such as housing benefit)
• not already be a homeowner
• have savings of less than £15,000.
What would prevent qualification?
• Household income above £80,000.
• Rent arrears during the past 12 months or in breach of current tenancy agreements.
• Temporary work contract with less than six months remaining.
• Poor credit history.
• You have your name on a mortgage.
• You have less than six months to remain in this country.
• You depend on housing benefit to pay the rent.
• You have savings of more than £15,000.
If two or more applicants are interested in the same property, we will
take the following into account in deciding who has priority:
• Serving members of the British Armed Forces, and those honourably
discharged in the last two years.
• Surviving partners of regular service personnel who have died in service
and have applied within two years of the bereavement.
• Existing social housing tenants.
• Other priorities agreed with the local authority (usually applicants who live or work in the borough or have a local connection).
How to apply
1. Register with local Homebuy agent.
2. Check our website (www.limehouselife.co.uk) for available properties.
3.We will carry out an affordability assessment with you.
4.If you pass this assessment we will invited you to view the property during office hours (ID will be required)
5.Before viewing, we will email an application form to you. Please fill it in and bring it to the viewing with a copy of most recent credit report.
If successful, we will provisionally offer you the property based on the information on your application form. We will then email you a link to upload supporting documents (see below) so that we can complete a full assessment and carry out credit referencing (you will need to do this within 24 hours of receiving the email):
• Proof of identification (eg driving licence or passport).
• Proof of address (eg copy of most recent utility bill (not mobile phone bill) / HMRC letter / council tax letter).
• Proof of earnings (eg three month’s payslips or three years’
SA302 tax returns if you are self-employed.)
• Proof of landlord (tenancy agreement or signed letter from your landlord or from the friends or family you live with).
• Proof of savings – three months’ statements for all bank accounts in your name.
• Proof of financial commitments (eg loan agreements, hire purchase
agreements or maintenance payments).
Your application will be assessed in full to double check that all the information you gave at the start of the process is correct. We will also make sure that you still meet the affordability criteria based on your proven income and outgoings.
Once your application is approved you will have to pay a deposit equal to one month’s rent (including service charge) and one month’s rent in advance.
The rent payable under IMR must not be more than 80% of the local market rent. As your landlord, we will work out what the local market rents are.
We will collect rent and service charges monthly by Direct Debit on the first day of every month.
We review rents every year in line with local market rents – and you will continue to get the 20% IMR discount.
The Affordable Housing Capital Funding Guide recommends that any rent increases over the Consumer Prices Index (CPI) plus 0.5 per cent should be both affordable and fair to IMR tenants. Rents must remain
at less than 80 per cent of the market rent throughout the tenancy.
Advance rent and deposit
We will ask for the first month’s rent in advance when the tenancy agreement is signed plus a returnable deposit of a further month’s rent against breakages or damage. Will will keep your deposit securely in a deposit protection scheme.
As your landlord we will provide a comprehensive and responsive repairs service although you are responsible for minor repairs such as replacing tap washers .
Your landlord can charge a reasonable amount to cover either fixed or variable service charges. The rent plus service charges should not be more than 80% of the market rent.
• You will be responsible for the household bills such as water, electricity, gas and council tax.
• IMR properties are not available to buy.
• Pets are not allowed in any of our IMR properties.