Shared ownership

Here are some of our most commonly asked questions about shared ownership.

What is shared ownership?

Shared ownership is a great way to get onto the housing ladder if you can't afford to buy on the open market.

You buy a share of a new home, anywhere between 25% and 75%. This reduces the amount of mortgage and deposit you will need. Rent is payable on the share of the property you don't own.

Am I eligible for shared ownership?

To find out if you are eligible, you would need to contact the local Help to Buy Agent to register for the shared ownership scheme. The Help to Buy Agent is appointed by the government's Homes and Communities Agency and will guide you through the options available and explain the eligibility and affordability criteria.

They will carry out an initial eligibility assessment with you and, if you are approved for the shared ownership scheme, will issue you with a letter containing a reference number

How do I know how much of my home I can afford to purchase?

The exact percentage is determined by the government's affordability calculator. Don't worry as we can take care of everything for you.

We will put you in touch with a Financial Advisor, who will carry out a quick financial assessment and complete an affordability calculator with you over the phone. One of the purposes of this process is to determine the share of the property you are able to purchase. They will also carry out a basic affordability check with the most appropriate lender, to ensure you are able to secure a mortgage to assist with your purchase. They will forward all the information to us, and if you qualify we can complete the paperwork to reserve your new home.

Can I purchase more of my home in the future?

If your circumstances change, you can choose to increase the part you own, until you own the property entirely. The rent you pay will decrease as you buy more of the property.

Sounds good - can you give me some examples?

Here are a couple of examples, based on buying a home at our Chapel Meadow development, in Forton, based on a full market value of £165,000.

Example 1: Buying 25% of a 2 bed property on your own, earning £16,000 pa.

Deposit (%5)  £2100
Mortgage £39,150
Mortgage payment £173
Rent (on the share you don't own) £284
Service charge (your contribution towards maintaining the development) £18
Total monthly cost £475*

 

Example 2: It may also be possible to buy without a deposit. Buying a 43% share of a 2 bed property with a partner and you both earn £16,000 pa

Deposit  £0
Mortgage £79,950
Mortgage payment £349
Rent (on the share you don't own) £216
Service charge (your contribution towards maintaining the development) £18
Total monthly cost £582*

Contact our sales team who will be able to put you in touch with the correct agent or give you any further information you need.

*information correct as of October 2017 but may change as a result of various influences.

Where can I find out more?

You may also like to refer to the Government's website for more information on shared ownership. 

What do I do next?

You can contact our sales team who will be able to put you in touch with the correct agent or give you any further information you need.