Shared ownership offers you the chance to buy a share of your home and pay rent on the remainder, typically to a Local Authority or Housing Association.
Shared ownership properties may be newly built or an existing property purchased through a resale scheme from the Local Authority or Housing Association.
For example, if you owned a 25% share of a property valued at £120,000, you would only require a deposit and mortgage for the 25% share valued at £30,000. You would then pay the Local Authority or Housing Association monthly rent on the remaining 75% share they own, which is valued at £90,000.
Buying a shared ownership property is great way to start on the property ladder, especially if you cannot quite afford the mortgage on 100% of the value of a property. It is also often cheaper than renting a property from a landlord, provided you can be approved a mortgage and keep up with the monthly repayments.
Later on, in your period of home ownership, you can always buy further shares when you can afford to, which will in turn reduce the amount of rent you are paying on the remainder share.
Andrew & Andrew Solicitors have the expertise and knowledge to assist you in purchasing and selling a shared ownership property. We will guide you through each step of the transaction and explain the procedure in simple terms.
Please get in touch with the Conveyancing team today. Contact us by email at firstname.lastname@example.org, or by telephone on local rate 023 9267 5555 or freephone 0800 083 6499.