Shared Ownership, one of the Government’s Help to Buy schemes, offers people the chance to buy a share in a home.
As a housing association with hundreds of shared ownership homes across the country, we often get asked many questions about the scheme. In this blog, we’re going to answer these questions and provide you with the most up to date information.
What is the Shared Ownership Scheme?
Shared Ownership is another way to buy your own home. You buy an initial share in a property, usually between 25% and 75% of the home’s full market value. And pay a subsidised rent on the remaining share. In the future, you can buy then further shares until you own 100%, or you can sell your share in your home and move on.
Buying a percentage means a smaller deposit and a smaller mortgage, for lots of people it means they can take their first steps onto the property ladder much sooner. It’s a cost-effective way to own your own home and ideal for first-time buyers.
There are some eligibility criteria you will need to meet when applying for home under the Shared Ownership scheme.
These are just a few of the criteria to meet in order to be eligible for the shared ownership scheme. You could be eligible to buy a shared ownership home, if:
- Your household income is than £80,000 a year (or less than £90,00 a year in London).
- You don’t already own a home i.e. you should generally be a first time buyer. If you do already own a home you must be in the process of selling it.
- You have no outstanding credit issues (i.e. CCJ’s, defaults). Please note that some homes may also have additional criteria.
- You’re not able to afford to buy a home suitable for your housing needs on the open market.
To check your eligibility for Shared Ownership you can complete an application form on the Help to Buy website.
Are All Accent’s Newbuild Homes Available for Shared Ownership?
Although a large proportion of the newbuild homes we provide are available for Shared Ownership, not all of them are eligible. To see the latest homes we have available please visit homemadehomes.com/our-homes. Homemade is the experienced property sales team within Accent.
Can I Make an Offer on a Shared Ownership Home?
Typically, you don’t really make an offer as such. All our new homes are valued independently by a RICs surveyor (Royal Institute of Chartered Surveyors) and are reviewed regularly. The share you initially purchase will be a % of the value provided by the surveyor
When it comes to the shares you’ve purchased, you can always choose to buy more at a later date, in most cases until you own 100% of the property, this is what’s known as ‘staircasing’.
What Is Staircasing?
This is the process of buying more shares in your home.
The price you pay for any additional shares is based on the value at that time and will be determined by an independent RICs surveyor. You will be responsible for the cost of this and any additional legal or mortgage fees. As with any home, the value of your property will rise and fall with general market conditions.
Shared Ownership Homes With Accent Housing
All of our available shared ownership homes are available on homemadehomes.com/our-homes. Homemade is an experience property sales team within Accent. We offer both new and resale shared ownership homes.
Over the years, we’ve helped thousands of people fulfil their ambition of being homeowners with our shared ownership properties. Our team are experienced industry experts and proud of what we do. We would love to help you find your next home.