Shared-Ownership

Shared ownership purchases are becoming an ever-more popular way for individuals to get on to the property ladder. Indeed, many recently completed new developments in north London and South Herts are exclusively reserved for shared-ownership applicants.

The concept behind shared-ownership is that the purchaser buys only a certain percentage of the property. The remaining percentage is owned by the housing company or association. The purchaser then pays rent to the company for this outstanding portion. The portion of the property which is purchased is mortgaged in the usual way. However, not all lenders will provide mortgages on shared-ownership properties.

‘A Foot On The Ladder’

The advantage of this arrangement is that the purchaser can gain a ‘foot on the housing ladder’ when they might not be able to afford to buy a property outright. If the value of the property goes up, then their ‘stake’ also goes up. In the past, many of our clients have sold their shared-ownership properties and used any gain in equity to place a deposit on a home, which they can purchase without having to share ownership.

In-House Expertise

We will guide you towards the lenders who are most comfortable with this type of lending and walk you through the process of getting the keys to your new home. If you have a question about getting a shared-ownership mortgage or remortgaging a shared-ownership property, contact us today.