We wanted to share with you our spotlight story this week on Shared Ownership, which offers buyers the ability to purchase a percentage of a home, both apartments and houses, whilst renting the other share from a social landlord/housing association.
Shared Ownership is also branded under the Governments ‘Help to Buy’ slogan but doesn’t offer any government support or incentives.
The scheme allows you to purchase between 25% and 75% of the property, as it is designed to help those who unable to afford the full 100% due to income or not having a sufficient deposit.
As your income increases, you are able to purchase further shares in the property and eventually own 100% of your home.
You could buy a home through Help to Buy: Shared Ownership in England if:
*your household earns £80,000 a year or less outside London, or your household earns £90,000 a year or less in London.
*you are a first-time buyer, you used to own a home but can’t afford to buy one now or are an existing shared owner looking to move.
You will be charged a rent amount on the remaining share which is payable to the housing association.
Mortgages are available up to 95% of the share you are looking to purchase, which really helps first-time buyers with smaller deposits get their foot on the housing ladder.