Private Rent-to-Own vs Government Rent-to-Own Schemes

For many renters, the dream of owning a home feels just out of reach. Deposits are high, mortgages are stricter, and rents keep rising. Yet a growing number of people can afford monthly housing costs they just can’t save the lump sum needed to buy.

That’s where rent-to-own comes in. These programmes are designed to help renters bridge the gap between renting and buying. In the UK, there are two main routes: private rent-to-own, such as keyzy.com, and government-backed rent-to-own schemes, like Rent to Buy or London Living Rent.

Both aim to turn rent into a stepping stone to ownership, but they work in very different ways.

What is a rent-to-own?

A rent-to-own lets you rent a property now with a plan to buy it later. You live in the home, pay rent as normal, but part of what you pay goes towards your future purchase. When the term ends, you have the option to buy, usually using the credit you’ve built and a mortgage.

In the UK, rent-to-own takes two forms:

1. Private rent-to-own - run by private companies such as keyzy.com, offering a structured path from tenancy to ownership.
2. Government rent-to-own schemes - delivered through housing associations or local councils, offering discounted rent on new-build homes for a limited time before purchase.

How Keyzy’s private rent-to-own works

Keyzy.com is a private rent-to-own provider helping renters take their first step towards ownership. It’s built for people who can afford their monthly rent but don’t yet have the savings for a large deposit.

Here’s how Keyzy works:

• You apply through keyzy.com, choosing from homes in one of Keyzy’s developments across West London, Southall, Hayes, and Harrow.
• Keyzy buys and manages the homes, meaning you rent directly from Keyzy.
• You move in as a tenant under a two-year fixed-term agreement.
• Your monthly payments are fixed for the full term, making budgeting easier.
• Every rent payment contributes towards your deposit when you buy the home at the end of the term - for example, on a 2-year fixed agreement at £1,600/month, you would build up £38,400 towards your deposit.
• The purchase price is locked when you move in - so you know exactly what it will cost to buy later.
• When you’re mortgage-ready, you use your built-up credit to complete the purchase.

You can read more about the process on Keyzy’s website.

This model gives renters a clear, structured path to homeownership while living in the home they plan to buy.

How government rent-to-own schemes work

Government-backed rent-to-own schemes, such as Rent to Buy and London Living Rent, are delivered through housing associations and local authorities.

• You rent a new-build property at a discounted rate for a set number of years, usually up to five.
• The reduced rent allows you to save for a deposit.
• At the end of the rental period, you may be able to buy the property outright or through Shared Ownership.
• These schemes have eligibility criteria, including income limits, employment requirements, and first-time buyer status.

Comparing private and government rent-to-own schemes

The advantages of Keyzy’s private rent-to-own

• Clarity and certainty: You know your rent, your future price, and your timeline from day one.
• Rent becomes your deposit: Every payment counts towards ownership, turning rent into progress.
• Fixed payments: Your rent won’t change during the two-year term, giving stability in an unpredictable market.
• Simpler route to buy: You’re already living in the home you’ll eventually own.
• Support and guidance: Keyzy helps you stay on track to be mortgage-ready when your term ends.

For many renters, Keyzy’s model provides a practical and achievable bridge between renting and buying, especially in areas where saving for a deposit while paying high rent is nearly impossible.

The pros and cons of government rent-to-own schemes

Positives:

• Reduced rent makes saving a deposit easier.
• Access to brand-new, energy-efficient homes.
• Scheme backed by the government and delivered through regulated providers.

Drawbacks:

• Availability is limited and demand is high.
• Homes are mostly new builds, often outside major city centres.
• You still need to save your own deposit; rent doesn’t directly convert into equity.
• Purchase is often through Shared Ownership, which comes with service charges and resale restrictions.

Which rent-to-own option suits you best?

The bottom line

Rent-to-own schemes - whether private or government-backed - offer renters new ways to become homeowners.

If you want flexibility, speed, and a clear path to ownership, Keyzy’s private rent-to-own option could be the right fit. You get price certainty, fixed payments, and the peace of mind that your rent isn’t wasted - it’s building your future deposit.

If you prefer to rent at a discount and save separately for longer, a government rent-to-own scheme might work better.

Either way, the idea is simple: rent with purpose, and turn each monthly payment into progress towards owning a home of your own.