Homebuyers across County Durham could secure a property at a discount of at least 20% below market value under a new planning document now in force. Durham County Council adopted the Discount Market Sale Supplementary Planning Document on 26 June, with the decision published three days later.
The policy applies to every division in the county and caps the maximum sale price of a discounted home at £140,000. To qualify, a household must earn less than £80,000 a year, hold a local connection to the area, and not already own a residential property. The discount stays with the property through every resale under Section 106 legal agreements, ensuring it remains affordable in perpetuity.
The Corporate Director of Regeneration, Economy and Growth signed off on the document in consultation with the portfolio holder for planning, investments and assets. The move follows a December 2024 revision to the National Planning Policy Framework that scrapped the requirement for a quarter of affordable homes on new schemes to be delivered as First Homes. As a result, First Homes will no longer be routinely requested within County Durham, clearing the way for the council to formalise its preferred Discount Market Sale approach.
Discount Market Sale has long been the product of choice for developers in the county because it lets them discharge affordable housing obligations using their existing sales methods. The council says its Housing Development Team will administer eligibility checks and manage the resale process, requiring owners to contact the team so the next maximum price can be calculated from an open market valuation.
A new Strategic Housing Market Assessment is due later this year to refresh the evidence on local need, but the £140,000 viability cap was already set by the October 2023 Local Plan Viability Testing update and remains in place.
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