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After section 62 of the [1987 c. 26.] Housing (Scotland) Act 1987 (in this Chapter referred to as “the 1987 Act”) there shall be inserted the following section—
(1)Subject to subsection (2), a tenant who has the right under section 61 to purchase a house may exercise the right by way of the rent to loan scheme.
(2)Subsection (1) does not apply—
(a)to the tenant of a house which is designated as defective under Part XIV; or
(b)to a tenant—
(i)in respect of whom a determination has been made that he is entitled to housing benefit in respect of any part of the relevant period; or
(ii)by or on behalf of whom a claim for housing benefit has been made (or is treated as having been made) and has not been determined or withdrawn.
(3)In subsection (2), “the relevant period” means the period—
(a)beginning twelve months before the date of the application to purchase the house; and
(b)ending on the day when the contract of sale of the house is constituted under section 66(2).”
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