What is shared ownership?
Shared Ownership is a government-backed Part Buy/ Part Rent scheme designed to help you take that first step onto the property ladder. Properties sold under this scheme are usually new build apartments or houses and you can purchase shares from 25% up to a maximum of 75% on the initial purchase.
If you are looking to step onto the property ladder, or there are changes in your personal circumstances and you need to sell your home, you may be eligible for Shared Ownership.
All Shared Ownership applicants are expected to purchase the maximum share they can afford; this will be dependent on your income and savings which you will need for your deposit and any financial commitments you may already have. You will need to use some of your savings for legal fees and the rest of your savings will be required for your deposit.
You will need to arrange a mortgage for the share of the property you wish to buy and you will also have to pay a discounted rent to your landlord on the share you don’t own and a service charge will also be payable.
How can you benefit from Shared Ownership?
- It allows you to get on the property ladder and is usually cheaper than renting
- You have the option to buy more shares of your home in the future
- You can sell the shares at any time
- 95% mortgages available on the share you buy
- Over 300 mortgage products are available