To mark Shared Ownership Week 2020, we’re debunking some common myths about the part-buy, part-rent scheme.
Unlike buying on the open market, Shared Ownership enables you to purchase a portion of your home, usually between 25% and 75%, and pay rent on the remaining, unowned portion.
Here are some of your common questions answered:
‘Can I ever own my home outright?’
Yes, you can! Shared Ownership buyers start out by purchasing a 25% to 75% share of their home, which typically requires a smaller deposit than buying on the open market. However, this isn’t the end of the journey with Shared Ownership.
Through a process known as staircasing, buyers can purchase additional shares in their property, until they eventually own their home outright.
As you staircase, the rent you pay on the unowned portion decreases, until you have acquired 100% and no longer pay any rent.
‘Is Shared Ownership only available to key workers?’
No. While sometimes priority is given to key workers, you do not have to be a key worker to be eligible.
There are other eligibility criteria though. You must be at least 18 years old and have a household income under £80,000, or £90,000 if buying in London. You must not currently own a property – if you do, you must be in the process of selling that home – and you need a good credit history. Some of our developments may have additional eligibility requirements such as borough restrictions – it is best to chat to our sales teams for more information on particular developments.
‘Do I have to share my home?’
Not at all! A common misconception of Shared Ownership is that you will have to share your home with strangers, however, Shared Ownership is not a house share. The word ‘share’ refers to the share of the home you own.
To learn more about our latest Shared Ownership homes, click here.