Owner-occupation at the margin?: Tenure choice among public sector tenantssince 1980

In this paper we examine tenure decisions of public sector tenants followin g the Housing Act of 1980 which gave tenants the right to buy their propert y and a substantial discount on the purchase price. Tenure choice is found to be determined by the household budget constraint, life-cycle characteris tics and the quality of both the accommodation and the match between the ho usehold and the property, and is in many respects comparable with tenure ch oice in the private sector. As such, tenure transfers under the 'right to b uy' initiative are efficient, undertaken by public sector tenants on the ma rgin of owner-occupation.