Shared Ownership
Housing Associations & Local Authorities have been providing Shared Ownership homes for at least 10 years. Several thousand people throughout England have already become homeowners through Shared Ownership
Shared Ownership is a way of bridging the gap between renting and owner occupation. It gives people who cannot afford to buy a home outright, the opportunity to buy a share in a new house or flat on part rent/part buy basis. This means that the purchaser buys a share of the house and pays rent on the part that they do not own. The District Council has a number of existing Shared Ownership schemes in the District where vacancies do occasionally occur. In addition through it’s development programme the District Council is working with its partner Housing Associations to provide more Shared Ownership homes across the District.
Shared Ownership is a way of bridging the gap between renting and owner occupation. It gives people who cannot afford to buy a home outright, the opportunity to buy a share in a new house or flat on part rent/part buy basis. This means that the purchaser buys a share of the house and pays rent on the part that they do not own. The District Council has a number of existing Shared Ownership schemes in the District where vacancies do occasionally occur. In addition through it’s development programme the District Council is working with its partner Housing Associations to provide more Shared Ownership homes across the District.
How can I qualify?
In order to qualify for Shared Ownership you must be in housing need and registered on the Housing Needs Register. In order to do this please contact Westlea Housing Association pre-Tenancy Services on 01249 465465. You must also be unable to afford to buy a house outright, but have sufficient income to secure a mortgage on part of the property and pay rent on the rest. In normal circumstances people in greatest housing need are given priority. You must also not already own your own home.
How does it work?
Shared Ownership means that you part rent/part buy your home through a Housing Association. The idea is that over time, as your income increases and you can purchase more of your home, you rent less to eventually achieve full home ownership. This is called ‘staircasing up’ in ownership. The initial percentage you buy will be set by the Housing Association and will vary from scheme to scheme but is usually 25%, 50% or 75%. Further units are usually available in 25% portions of the value. Please note that in rural areas some restrictions are put on staircasing up and also to be considered for the homes you must have a local connection with the area.
What happens if I want to move?
You can sell your home whenever you like, but you must notify the housing association in writing that you want to do so. The District Council retains nomination rights to Shared Ownership homes and will nominate to you families of the Housing Needs Register who have expressed an interest in your property. It is important therefore that you also notify the District Council of your intention to sell the property.
Because you own a fixed percentage of the value, when you sell, you can benefit from a proportion of any increase in the value of the property. Should the value fall, you will suffer the loss based on the percentage of the property you own.
Because you own a fixed percentage of the value, when you sell, you can benefit from a proportion of any increase in the value of the property. Should the value fall, you will suffer the loss based on the percentage of the property you own.
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