Shared Ownership

You can buy more shares as and when you can afford them, meaning the more shares you buy the less you will be paying in rent.

This process is known as stair-casing. You can own 100% of the property if you want to, at which point you will pay no rent at all. The cost of the additional shares will depend on the current market value of your home, at the time you wish to staircase.

You can buy your home with Shared Ownership if:

• Your household earns £80,000 a year or less
• You’re a first-time buyer (or existing shared owner moving to another shared ownership home)
• Your income is sufficient to cover the mortgage (if applicable), rent and service charges
• Your chosen Shared Ownership property is affordable and sustainable for you

If you are a serving member of the British Armed Forces, or have been honourably discharged in the last 2 years, then you will receive priority for buying a home through Shared Ownership.

Please note that shared ownership is available to everyone but if you are currently a homeowner and want to buy with Shared Ownership, you will need to find a buyer for your current property before your application will be considered. We cannot accept applications from homeowners.

If you can afford to buy the property outright without Government assistance, you will not be considered eligible.

To find out more, view the below Shared Ownership Facts Sheet.

Shared_Ownership_Fact_Sheet_2019.pdf [pdf] 242KB

Why should I consider Shared Ownership?

Shared Ownership requires a smaller deposit that buying a house on the open market as you’re only buying a share of the property. It’s a good way of getting on the property ladder and investing your money rather than renting and it is yours, you can decorate, buy more shares, and sell it when you want to. 

 

How much of the property do I own?

You pay for a percentage share between 25% and 75% of the home’s full market value, entering into a lease agreement with your landlord and agree to pay rent to the landlord on the remaining share of the house. Overtime you can staircase all the way to 100%. 

 

What is Staircasing? 

‘Staircasing’ refers to increasing the share of the property you own. You do it gradually over time, to eventually own your home 100%. The cost of additional shares is calculated by the market value of your home when you decide to start staircasing. 

 

What am I responsible for?

As the homeowner the property would be your responsibility to keep in good condition and fix anything you’re not happy with. If you purchase a house under the new Shared Ownership model you will benefit from a repair period of 10 years from the date of your lease or until you have fully staircased to 100% ownership.

 

Can I sell my property? 

Yes, you own your share so it’s yours to sell whenever you want. You’ll essentially be selling your share to another shared ownership buyer, through the housing association and their property listing channels. If you’ve staircased all the way to 100% and own it fully, you can sell on the open market but your housing association has right of first refusal.

 

Is this related to ‘Help to Buy’?

Yes. But there are a few different schemes which are helping people to buy homes under Help to Buy. Most people will think of Help to Buy Equity Loan which is a loan that is provided by the Government and needs to be paid back but Help to Buy Shared Ownership is different. You buy a share of 25-75%, only pay a mortgage and deposit on the share you own and pay rent on the rest.