Shared ownership mortgages

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Shared ownership mortgages

Homeownership may seem daunting, particularly for first-time buyers. It’s a vast landscape fraught with financial complexities and market fluctuations. However, shared ownership mortgages offer a beacon of hope for those who find the prospect of outright purchase to be out of their grasp. Shared ownership mortgages serve as a unique pathway that allows individuals to venture into the property market by purchasing a percentage of a home while paying rent on the remaining share.

This approach makes the dream of homeownership more attainable for those who may struggle with saving for a large deposit or securing a traditional mortgage. By illuminating the potential of shared ownership mortgages, we aim to demystify the world of homeownership and make it accessible to a broader audience. As with any significant decision, understanding the intricacies of shared ownership mortgages is crucial, providing the keys to unlock the door to your new home.

What is a shared-ownership mortgage?

A shared ownership mortgage is a type of home ownership scheme in the UK that allows you to buy a share of a property and rent the remainder from a housing association. It’s primarily designed to help people who can’t afford the cost of 100% mortgage on a home.

In a shared ownership scheme, you buy a percentage of the property’s value (usually between 25% and 75%) and pay rent on the remaining share, which the local housing association owns. The mortgage payments and rent are usually less than if you were to buy the property outright completely.

Over time, you have the option to buy bigger shares in the property when you can afford to, in a process known as ‘staircasing’, until you eventually own 100% of the property. This isn’t compulsory, though – you can continue owning your original share and paying rent on the rest if you prefer.

This scheme can be a helpful step onto the property ladder for people who otherwise wouldn’t be able to afford to buy a home.

Types of shared ownership mortgages

Shared ownership mortgages, like standard mortgages, come in a variety of forms depending on the lender, your needs, and your financial circumstances. However, because shared ownership is a specific type of homeownership scheme, the options might be slightly different from a standard mortgage. Here are the main types:

Fixed-Rate Mortgages: These are one of the most common types of shared ownership mortgages. As the name suggests, the interest rate is fixed for a set period, typically two to five years. This means that your mortgage repayments will remain the same during this period, offering certainty and stability.

Variable-Rate Mortgages: This is a type of mortgage where the interest rate can change. If the Bank of England changes its base rate, your lender could increase or decrease your mortgage interest rate accordingly. This could mean your monthly payments can go up or down.

Discount Mortgages: These are variable-rate mortgages but with a discount applied for a set term. For instance, you might get a discount off the lender’s standard variable rate for two or three years. While this can offer lower payments at first, it’s important to plan for potentially higher payments once the discount period ends.

Tracker Mortgages: This is another type of variable-rate mortgage. However, the rate changes directly in line with another interest rate – typically the Bank of England’s base rate. If the base rate goes up, so does your mortgage rate, and your repayments will increase.

What is staircasing?

Staircasing is a term used in the context of shared ownership properties in the UK. It refers to the process where a homeowner purchases additional shares in their property over time.

When you initially buy a shared ownership property, you buy a certain percentage of the property (typically between 25% and 75%) and pay rent on the rest, which is owned by the housing association.

Staircasing allows you to increase your ownership in the property in increments, often of 10% or more each time. You can do this until you own the property outright, a point at which you will no longer need to pay rent to the housing association. The cost of purchasing additional shares will depend on the property’s current market value, which will be determined by a valuation at the time you want to staircase.

Who is eligible for a shared ownership mortgage?

Shared ownership mortgages are generally designed to assist first-time buyers, people who used to own a home but can’t afford to buy one now, and existing shared owners looking to move.

The eligibility criteria for shared ownership mortgages in the UK are as follows:

Income Limit: Your household earns £80,000 a year or less outside London, or your household income is £90,000 a year or less in London.

First-Time Buyers: You are a first-time buyer, meaning you don’t currently own a home and have never owned one before.

Former Homeowners: You used to own a home but can’t afford to buy one now.

Existing Shared Owners: You are already a shared homeowner and are looking to move to another shared ownership home.

Minimum Age: You must be at least 18 years old.

Affordability and Mortgage Requirements: You should be able to afford the regular payments and costs involved in home ownership but unable to purchase a suitable home in any other way. You must also have a good credit history and be able to obtain a mortgage from a bank or building society.

Residency Status: You must be a British citizen or have a right to reside in the UK.

These eligibility criteria can vary slightly depending on the housing association and the specifics of the shared ownership scheme, so it’s always best to check the most up-to-date requirements when you are considering applying for a shared ownership mortgage. It’s also important to note that certain properties or schemes may have additional eligibility criteria, such as being a key worker or living or working in a certain area.

Older people’s shared ownership (OPSO)

Older People’s Shared Ownership (OPSO) is a variation of the standard shared ownership scheme in the UK, aimed at people aged 55 and over. But a second applicant is 50 or older.

Under the OPSO scheme, you can buy up to 75% of your home. Once you own 75%, you won’t have to pay rent for the remaining 25%. This is a significant difference from the typical shared ownership scheme, where you can staircase up to owning 100% of your property.

Just like with the standard shared ownership scheme, you would take out a mortgage for the share of the home you’re buying and then pay a reduced rent on the rest.

To be eligible for the OPSO scheme:

    1. You must be aged 55 or over.
    2. Your annual household income can be up to £80,000 outside of London or up to £90,000 in London.
    3. You should be unable to purchase a suitable home to meet your housing needs on the open market.
    4. You must not have any outstanding credit issues (i.e., be free of bad debts).

How does shared ownership work?

It’s designed to help people who can’t afford the cost of a 100% mortgage.

Here’s how it works:

    1. Purchase a Share: As mentioned earlier, you buy a share of a property, typically between 25% and 75%, and pay rent on the remaining share, which is owned by a housing association.
    2. Mortgage and Rent: You typically finance your share with a mortgage, which you pay off monthly. In addition, you’ll pay a reduced rent to the housing association for the portion of the property they still own.
    3. Staircasing: Over time, if your financial situation allows, you can buy more shares of your home. As we mentioned earlier, this is known as ‘staircasing’. The cost of additional shares will be based on the property’s current market value. You can eventually own 100% of the property if you wish and if you can afford to do so. At this point, you will no longer need to pay rent.
    4. Selling the Property: If you want to sell the property, the housing association usually has the ‘right of first refusal’, meaning they have the first option to buy the property back from you. If you own 100% of the property, you can sell it on the open market. If you own a share of the property, the housing association has the right to find a buyer for your share.
    5. Eligibility: As mentioned earlier, eligibility for shared ownership is subject to certain criteria, including income limits, your household must earn £80,000 a year or less outside London or £90,000 a year or less in London), and you should be a first-time buyer, a previous homeowner who can’t afford to buy now, or an existing shared owner.

How do I apply for a shared ownership scheme?

Applying for a shared ownership scheme involves several steps. Here is a general overview of the process:

Check Your Eligibility: Make sure that you meet the criteria for shared ownership. Typically, this includes being a first-time buyer, having a household income below a certain limit (£80,000 outside of London and £90,000 within London), and being at least 18 years old.

Register With Help to Buy: You will need to register with the Help to Buy agent in your region. This can usually be done online via the Help to Buy website. This agent can provide you with information on shared ownership properties in your area.

Speak With a Mortgage Advisor: Before proceeding, it can be helpful to speak with a mortgage advisor to understand how much you can borrow and what you can afford. They can also explain the process of applying for a shared ownership mortgage.

Find a Property: Once registered, you can start searching for available shared ownership properties in your desired location.

Submit an Application: Once you’ve found a property you’re interested in, you will need to submit an application to the housing association that owns the property. They will check your eligibility and may also conduct an affordability assessment.

Reservation: If your application is successful, you can then reserve your home. There may be a reservation fee to pay.

Mortgage Application: You then proceed with your mortgage application. This will involve providing detailed financial information to the lender so they can assess whether you can afford the mortgage.

Legal Work: A solicitor will handle the legal work, including the property survey and all the legal aspects related to the purchase of your share of the property.

Completion: Once everything is approved, you can then move to completion. You’ll sign the final paperwork, pay any remaining deposit, and the property will be yours up to the percentage that you’ve bought.

Which lenders offer shared ownership mortgages?

Many lenders in the UK offer shared ownership mortgages. The exact offerings and terms can vary between lenders, and the interest rates and fees may be higher than for standard residential mortgages due to the perceived higher risk. Here are some examples of lenders that provide shared ownership mortgages:

  1. Barclays
  2. HSBC
  3. Halifax
  4. Santander
  5. Nationwide Building Society
  6. Leeds Building Society
  7. Virgin Money
  8. Lloyds Bank
  9. Metro Bank
  10. NatWest

It’s crucial to do your research and potentially consult with a mortgage broker or financial advisor who has experience with shared ownership schemes. They can provide valuable advice and guide you towards the most suitable mortgage product for your circumstances.

The lending landscape may have changed since my training data, so it’s essential to check the most recent and accurate information. Many lenders have specific teams or advisers who deal with shared ownership mortgages and can provide the most up-to-date information.

Shared ownership mortgage rates

Rates are variable and are subject to changes based on a variety of factors, including the broader economic environment, the Bank of England’s base rate, and the policies of individual lenders.

Typically, shared ownership mortgage rates might be slightly higher than rates for standard residential mortgages. This is due to the perceived higher risk associated with shared ownership properties. However, just like any other type of mortgage, the rate you’re offered will also depend on your personal circumstances, including your credit history, income, deposit size, and the proportion of the property you’re buying.

In order to get the most accurate and up-to-date information on shared ownership mortgage rates, it’s best to contact individual lenders directly or speak with a mortgage broker or financial adviser who is experienced in shared ownership schemes. They can provide the latest rates and help you understand which products might be most suitable for your circumstances.

Can shared ownership be used on any property type?

No, shared ownership cannot be used on any property type. This scheme is specifically designed for certain new build properties or existing properties being sold by housing associations. Shared ownership properties are usually leasehold, not freehold, and are built and sold by housing associations that are part of the scheme.

When a property is available for shared ownership, it is typically advertised as such, and the housing association selling the home will specify the share that is available for purchase.

It’s important to note that shared ownership schemes are subject to eligibility criteria, which can include things like your income, whether you’re a first-time buyer, and sometimes your occupation or where you currently live or work.

To find shared ownership properties, you can usually search through dedicated portals and housing association websites or by registering with the Help to Buy agent in your area.

What are the advantages of shared ownership?

Shared ownership schemes offer a number of potential advantages for people who are unable to afford to buy a property outright on the open market. Here are some of the key benefits:

Lower Initial Costs: Since you’re only buying a portion of the property, the amount of money needed for a deposit will be significantly less than if you were to buy the property outright.

Affordable Monthly Payments: You’ll pay a mortgage on the share you own and subsidised rent on the remaining share. The combined cost is often less than if you were to fully buy the property or rent a similar property on the private market.

Opportunity to Increase Ownership: Through the process known as staircasing, you can gradually buy more shares of your property over time as you can afford to, eventually owning the property outright if you choose to.

Access to the Property Ladder: For many people, shared ownership may provide a feasible route onto the property ladder when it would otherwise be unaffordable.

Choice of Selling: If you decide to sell, you can sell your share to a new shared owner, or if you own 100% of your home, you can sell it on the open market.

Security: Unlike renting, shared ownership gives you the security and stability of homeownership.

What are the disadvantages of shared ownership? 

While shared ownership can provide a more affordable route onto the property ladder, there are also potential disadvantages to consider. Here are some of the key points:

Restrictions on Improvements and Alterations: As part-owner, or part-renter of the property, you might need to get permission from the housing association to make significant changes or improvements to the home.

Selling can be Complex: If you want to sell, the housing association usually has the first option to buy it back from you (known as ‘first right of refusal’). They also have the right to find a buyer for your home if you own a share and decide to sell.

Service Charges: Shared ownership properties often come with service charges for the maintenance of communal areas and the building’s exterior. These charges can sometimes be quite high, so it’s important to factor them into your budget.

Staircasing Costs: While staircasing allows you to increase your share of ownership over time, each time you do this, there will be costs involved. This may include valuation fees, legal costs, and potentially stamp duty.

Limited Range of Properties: Shared ownership is usually only an option on certain new-build properties or homes being sold by housing associations, limiting your choice.

Leasehold, Not Freehold: Most shared ownership homes are leasehold, not freehold, meaning you own the property for a fixed period of time but not the land it sits on.

Potential for Negative Equity: Like any property purchase, there’s a risk that your home could fall into negative equity, meaning it’s worth less than the mortgage secured on it. This is a risk if house prices in your area fall.

Before deciding on shared ownership, it’s important to understand these potential downsides and weigh them against the benefits. It’s always a good idea to seek independent financial and legal advice before proceeding with any form of homeownership.

What do I need to get a shared ownership mortgage quote?

To get a quote for a shared ownership mortgage, you’ll typically need to provide some key pieces of information to the lender or mortgage broker. These often include:

Personal Information: This includes basic details like your name, date of birth, address, and contact information.

Employment Details: Your current employment status, job role, employer’s details, and length of employment.

Income Information: You’ll need to disclose your annual income before tax, any additional income you may have, and details of the regularity of your income if it’s not fixed (for example, if you’re self-employed or have a variable income).

Outgoings: This includes monthly or annual expenses, such as existing loan repayments, credit card bills, living costs, and any other significant regular expenses.

Deposit Amount: The amount of money you have saved for a deposit.

Property Details: Information about the property you are interested in, such as the purchase price, the share you wish to buy, the estimated monthly rent, and any service charges.

Credit History: Lenders will want to know about your credit history. They will conduct a credit check to assess your financial behaviour.

Loan Term: The period over which you plan to repay the loan.

How much deposit do I need for a shared ownership mortgage?

The deposit required for a shared ownership mortgage typically ranges from 5% to 10% of the share of the property you’re buying, not the total property value. This can make shared ownership an attractive option for buyers who are unable to save a large deposit.

For instance, if a property is worth £200,000 and you’re buying a 50% share (£100,000), and the lender requires a 5% deposit, you would need to have £5,000 for the deposit.

However, the exact deposit amount can vary depending on the lender’s requirements and your personal financial circumstances. It’s always worth checking with potential lenders or a mortgage broker to understand exactly how much you’ll need to save for a deposit.

Keep in mind that there will be other costs involved in buying a home as well, such as solicitor’s fees, mortgage arrangement fees, stamp duty (if applicable), and moving costs, so it’s essential to budget for these as well.

Will my shared ownership property be freehold or leasehold?

In most cases, shared ownership properties are leasehold, not freehold. This means you own the property for a fixed period of time, typically 99 or 125 years, but not the land it sits on.

Under a shared ownership scheme, you buy a share of the property and pay rent on the remainder, which is owned by the housing association. Even if you staircase to 100% ownership, the property usually remains leasehold. This is because many shared ownership properties are flats with shared communal areas, and the housing association remains responsible for the maintenance and management of these areas.

However, the government in the UK has expressed intentions to make it easier for shared ownership leaseholders to buy the freehold of their homes, but these plans had not been finalised yet.

It’s important to understand the implications of leasehold ownership, including ground rent and service charges, so you should consider getting legal advice before buying a shared ownership property.

What do I need to do about the leasehold on shared ownership?

When you buy a shared ownership property, which is typically leasehold, you enter into a lease agreement with the housing association. This lease sets out the terms and conditions of your ownership and the housing association’s responsibilities. Here are some things you should consider about the leasehold on shared ownership:

Understanding the Lease: Before signing any agreement, make sure you fully understand the terms of the lease, including your responsibilities and those of the housing association. This should cover matters like the length of the lease, rent reviews, service charges, and the process for buying additional shares of the property (known as ‘staircasing’).

Lease Length: Most shared ownership properties come with a long lease, typically 99 or 125 years. The remaining length of the lease can affect the property’s value and your ability to get a mortgage. If the lease runs out while you’re still living there, ownership may revert back to the freeholder.

Service Charges and Ground Rent: As a leaseholder, you’ll likely have to pay service charges for the maintenance of communal areas and the building’s exterior, along with ground rent to the freeholder. Make sure you understand these costs and how they can be changed.

Staircasing: Your lease should outline the process for buying more shares in your property. This usually involves paying for a valuation, and the cost of the additional share will be based on the property’s market value at that time.

Selling the Property: If you decide to sell your share of the property, the housing association usually has first refusal. The lease should set out the terms for selling your share of the property.

Seek Legal Advice: A solicitor can help you understand the terms of the lease and your obligations. It’s advisable to engage a solicitor who has experience with shared ownership properties.

How does stamp duty work for shared ownership properties?

Stamp Duty Land Tax (SDLT) for shared ownership properties in England and Northern Ireland can be paid in one of two ways: a one-time payment based on the total market price of the property or in stages. This can have significant implications for the total amount of stamp duty paid.

    1. Market Value Election (One-time payment): In this scenario, paying the SDLT upfront is equivalent to purchasing a freehold or leasehold property outright. The SDLT is calculated based on the property’s current market value, which is specified in the lease. Once you’ve paid any SDLT due, you won’t pay any more on the property sale. This applies even if you “staircase” your ownership over time by purchasing a larger share of the property in the future. When the total market value of the property does not exceed the SDLT threshold for paying SDLT, this method often works best. It is important to remember that once a market value election has been made, it cannot be reversed.
    2. Pay any SDLT due in stages: In this case, you are responsible for paying the necessary SDLT, depending on the initial selling amount. No further payments are required until you own more than 80% of the property. If you decide to pay any SDLT that is due in stages, you will initially pay less. You can be obligated to pay more if you later raise your ownership stake in the property.

The calculation of the SDLT also depends on whether the lease gives you the right to have the freehold. If the lease lets you have the freehold to the property, then SDLT is charged on the market value of the freehold. This is its value at the time of the first sale, as stated in the lease and usually applies to houses. If there’s a market value election and the lease doesn’t let you have the freehold to the property, HMRC charges SDLT on the ‘open market premium’. This is the premium you’d pay at the time of the sale for the largest share of the property that you can have under the terms of the lease.


Can I buy a bigger share of my home at a later date?

Yes, you can buy a bigger share of your home at a later date. In most shared ownership schemes, you can choose to buy additional shares of your home in increments, typically of 10% or more. This allows you to increase your equity in the property over time as your financial circumstances allow.

The cost of buying additional shares will be determined by the market value of the property at that time. This means that if the value of your home has gone up, the cost of the additional shares will be higher than when you made your initial purchase. Conversely, if the value of your home has gone down, the shares will be cheaper.

Once you’ve staircased to 100% ownership, you become the outright owner of the property. If the property is a house, you might be able to convert your leasehold ownership to freehold. If it’s a flat, you’ll remain a leaseholder but will no longer need to pay rent to the housing association.

What happens if the value of my house changes?

The value of your house can fluctuate based on a number of factors, including changes in the property market, home improvements you’ve made, or shifts in the overall economy. If the value of your shared ownership property changes, it can have several implications:

Selling Your Share: If you decide to sell your share of the property, and the value of the house has increased, you could benefit from the increased equity when you sell. However, if the value has decreased, you may sell your share for less than what you originally paid. The housing association usually has the first right to buy your share for its market value at the time of selling.

Buying More Shares: If you’re planning to buy more shares in the property (known as staircasing), the cost of the additional shares will be based on the current market value of the property. If your house value has increased, you’ll pay more for the additional shares. Conversely, if the value has decreased, you’ll pay less.

Mortgage and Refinancing: Changes in your home’s value can also impact your ability to refinance your mortgage or alter your lending terms. If the property value has increased, you may have access to better mortgage products or rates.

Risk of Negative Equity: If the value of your home falls significantly, there’s a risk of negative equity – where the remaining amount on your mortgage is greater than the value of the property.

It’s important to note that property values can fluctuate, and investing in property always comes with a degree of risk. It’s recommended to seek advice from property professionals or financial advisors when dealing with issues related to property value changes.

Can I make home improvements?

Yes, you can make home improvements to a shared ownership property, but you may need to get permission from the housing association first, especially for major alterations.

You usually don’t need to seek permission for minor cosmetic changes such as painting walls or changing carpets. However, for larger changes like installing a new kitchen or bathroom, knocking down walls, building an extension, or changing windows or doors, you will generally need to obtain written consent from the housing association.

If you make significant improvements that increase the value of the property, this can affect the price if you decide to sell or buy more shares in the property. In some cases, you might be able to exclude the added value of the improvements you’ve made from the price of buying more shares, but this depends on the policy of the housing association.

It’s important to read and understand your lease to know what changes you can make and when you need to seek permission. If in doubt, always check with the housing association before starting any home improvement projects. It’s also worth bearing in mind that you might not recover the cost of improvements when you sell, so consider carefully before investing a significant amount in home improvements.

Are there any other fees I need to know about?

Yes, there are several other fees and costs associated with a shared ownership mortgage that you need to be aware of:

    1. Rent: You’ll pay rent on the portion of the property that you don’t own. This is usually charged monthly and can be subject to annual increases.
    2. Service Charges: These are fees for the maintenance of communal areas and services if you live in a flat or a house with shared facilities. They could cover things like cleaning, gardening, lift maintenance, and building insurance.
    3. Ground Rent: This is a nominal fee paid to the freeholder of the property. Ground rent is more common in leasehold properties.
    4. Mortgage Repayments: These are your regular repayments to your mortgage lender. The amount will depend on the size of your mortgage, the interest rate, and the mortgage term.
    5. Deposit: You’ll need to pay a deposit when you take out a shared ownership mortgage. This is usually between 5% and 10% of the price of the share you’re buying.
    6. Solicitor’s Fees: You’ll need a solicitor to handle the legal aspects of buying a property. This will include their professional fee and disbursements like searches and land registry fees.
    7. Mortgage Valuation and Survey Costs: Your mortgage lender will require a valuation to confirm the property is worth the amount you’re paying for it. You might also choose to have a more detailed survey done.
    8. Stamp Duty Land Tax (SDLT): Depending on the purchase price of your property and whether you’re a first-time buyer, you may have to pay Stamp Duty. However, SDLT rules for shared ownership properties can be complex, so it’s best to seek advice.
    9. Moving Costs: This includes the cost of physically moving your belongings to your new home.
    10. Potential Costs of Staircasing: If you decide to buy additional shares in your property, there will be costs associated with this, such as valuation fees, solicitor’s fees, and possibly more Stamp Duty.

What are the alternatives to shared ownership mortgages?

There are several alternatives to shared ownership mortgages, which may be more suitable depending on your individual circumstances:

    1. Right to Buy/Right to Acquire: These are schemes for council or housing association tenants in England to buy their home at a discount. The discount depends on the type of property you’re buying (a flat or house), how long you’ve been a tenant, and the value of your home.
    2. Lifetime ISA: A Lifetime ISA (Individual Savings Account) is a type of savings or investment account in the UK designed to help people aged 18-39 save for either a first home or retirement. You can put up to £4,000 into a Lifetime ISA each tax year (April to April), and the government will add a 25% bonus to your contributions. So if you save the full £4,000, you’d get a £1,000 bonus from the government. The bonus is paid monthly.
    3. Guarantor Mortgages: These are mortgages where a parent or close relative agrees to be responsible for paying the mortgage if you can’t. This can make it easier to get a mortgage if you’re struggling to save a large deposit or if you don’t have a high income.
    4. 95% Mortgages: As of April 2021, the UK government has introduced a scheme to encourage lenders to offer 95% mortgages. This means you would only need a 5% deposit to buy a home. The scheme is designed to help first-time buyers and existing homeowners buy properties up to a value of £600,000.
    5. Private Rental: If buying a property isn’t the right option for you, renting privately may be a good alternative. You won’t have the costs and responsibilities of a homeowner, although you also won’t be building up equity in a property.
    6. Co-Ownership/Co-Buying: This involves buying a property with friends or family members, which allows you to split the deposit and mortgage payments.

Can I sell my home at any time?

Yes, you can sell your shared ownership home at any time, but the process may be slightly different than selling a traditional property. The housing association or housing provider usually has a “first refusal” right, meaning they have the first option to buy the property back from you before you sell it on the open market. They also may have the right to find a buyer for your home.

The exact terms will depend on your specific lease agreement. Some leases may require the housing association to find a buyer for your share, while others allow you to sell your share on the open market if the housing association doesn’t find a buyer within a certain timeframe.

If property values have increased since you purchased your share of the home and you’ve maintained or improved the property, you could potentially make a profit when you sell. However, if property values have fallen, you could potentially make a loss.

The sale price of your share will be determined by an independent valuation, so it reflects the current market value. You will sell your share for a proportionate amount of the full market value. For example, if you own 50% of the property and it’s worth £200,000, you would sell your share for £100,000.


What happens if I can't pay my mortgage or rent on a shared ownership property?

If you can’t pay your mortgage or rent, it’s crucial to speak with your mortgage lender and the housing association as soon as possible. They can discuss potential options with you, which may include payment plans or assistance schemes. If you fail to make payments without addressing it, you risk losing your home as it could be repossessed.

Can I sublet a room in my shared ownership property?

Most shared ownership leases don’t allow subletting. You will need to check your lease agreement for specifics and potentially seek permission from the housing association.

Can I own other properties and still be eligible for shared ownership?

No, shared ownership is typically available only to first-time buyers or those who have previously owned a home but can’t afford to buy one now.

Can I take out a shared ownership mortgage if I'm self-employed?

Yes, but you may need to provide additional proof of income, such as tax returns and business accounts, to demonstrate that you can afford the mortgage.

How does divorce or separation affect a shared ownership mortgage?

If you’re getting divorced or separating, how your shared ownership property is divided will depend on your individual circumstances. You may decide to sell the property and split the proceeds, or one party may buy.

What happens to the property if the housing association goes bankrupt?

If the housing association goes bankrupt, another association or entity typically takes over its assets and responsibilities, including shared ownership properties.

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