HOLD: Eligibility and prioritisation

What is the HOLD eligibility criteria?

Who is eligible to apply to buy a home through the HOLD scheme?

Home Ownership for people with Long-term Disabilities (HOLD) is a government-backed scheme aimed at helping aspiring buyers with long-term disabilities to buy a suitable home.

Through this scheme, a Shared Ownership provider buys a property that meets the applicant’s needs and makes it available to them through Shared Ownership. Applicants can then purchase a share (typically between 10% and 75%) of a home using a specialist mortgage provider such as MySafeHome, while paying subsidised rent on the remaining portion owned by the housing association.

Am I eligible for HOLD?

There are specific eligibility requirements the homebuyer needs to meet to buy a HOLD property.

Firstly, the HOLD scheme follows most of the same general eligibility criteria as the Shared Ownership scheme, which includes the following:

• Age requirement: Applicants must be 18 years or older.
• Household income: In line with Shared Ownership, the applicant’s household income must not exceed £80,000 per year (£90,000 in London).
• First time buyer or non-homeowner: One of the following must apply to the applicant. You/the applicant are:
  • A first time buyer.
  • A previous homeowner who is currently unable to afford a home on the open market.
  • Purchasing a home to start a new household, for example, following the breakdown of a relationship.
  • An existing homeowner – including current shared owners – who is looking to move home, but is unable to afford to buy a property that meets your/their needs. Please note you will need to have sold your current home before completing on a new property.
• Inability to purchase outright: You must not currently be able to afford to buy a home suitable for your housing needs on the open market.
• Local eligibility requirements: Some housing providers or local authorities may apply additional criteria, such as a connection to the area where the property is located.

In addition to this, you/the applicant needs to meet the criteria outlined below:

• Definition of disability: Applicants must have a long-term disability that is defined under the Equality Act 2010.
• Shared Ownership: Applicants need to be unable to find a Shared Ownership home that meets their needs or is not within reasonable proximity to their support networks.
• Housing provider: Applicants must find a provider of homes under the HOLD scheme in the area where they wish to purchase a property.

What else do I need to consider?

Once you’ve chosen a housing provider that supports the HOLD scheme, you can start looking for a home on the open market. This could be a brand-new property or a previously owned home – the choice is yours.

To be eligible, the home will need to:

• Be in good condition and ready to live in.
• Be a permanent place to live (so not a caravan, houseboat or mobile home).
• Not be sold through an auction.
• Come with a recognised building warranty if it’s a new-build.
• Have a lease of at least 990 years remaining if it’s leasehold, unless no suitable homes are available at that length – in which case, a minimum of 125 years is acceptable.

Some HOLD providers may have a few extra requirements when buying a property. If that’s the case, they’ll talk these through with you/the applicant so you know exactly what to expect.

Who is eligible to apply for a specialist mortgage for people with disabilities?

In addition to being approved to buy a home through the HOLD scheme, applicants will need to qualify for a mortgage from a specialist provider such as MySafeHome. To determine eligibility, the applicant may need to meet additional criteria, such as those outlined below:

Disability benefits: Applicants must receive Enhanced or Standard Daily Living Personal Independence Payment (PIP) or Disability Living Allowance (DLA).

Financial benefits: Applicants also need to be receiving the Universal Credit Limited Capability for Work and Work-Related Activity (LCWRA) element or be in the ESA Support Group.

Age and credit history: Applicants must be 18 years or older with a clean credit history and no outstanding debts.

Employment capability: Applicants should be unable to work in conventional employment for more than 12 hours per week.

Care support: Applicants must either have or be arranging a Care & Support package with a local authority, private care provider, or family.

Mental capacity: Applicants are required to demonstrate their mental capacity to understand what a mortgage is or to have a Court of Protection or Lasting Power of Attorney in place.

Living arrangements: Applicants should be looking to live independently. If sharing with someone else is a preference, this may be considered, but it’s important to carefully plan and approach the decision thoughtfully to ensure it’s the right fit.

Deposit and fees: Applicants will need to cover the minimum 5% deposit for their share of the property and fees amounting to around £12,000 – £15,000 (this includes the deposit). Approximately £30 will also be required weekly to contribute to the applicant’s housing costs.

These criteria may differ between specialist mortgage providers, so we advise contacting them directly to discuss your or the applicant’s individual circumstances.

What else do you need to know?

In addition to meeting the basic eligibility requirements, you/the applicant should also consider the following factors:

Mortgage cap: The maximum mortgage applicants can secure is £100,000, meaning you/the applicant would need a minimum deposit of £5,000 for your share of the property.

Affordability assessment: The affordability of the property will be carefully assessed to ensure you/the applicant can continue to sustain homeownership long-term.

Signing documents: If the applicant has an appointee, they can sign the paperwork for the house purchase and mortgage application on their behalf, providing they have been appointed as a Deputy via the Court of Protection/Guardianship office.

Support needs: Both HOLD and Shared Ownership can be a viable home-buying option for people with high support needs, so it’s worth looking into these routes to homeownership even if you’re unsure. Many people with complex needs have successfully purchased a home of their own through HOLD or Shared Ownership.

How does prioritisation work?

Prioritisation for properties depends largely on the availability of suitable homes and the discretion of the housing association(s) covering the specific area you/the applicant are looking to buy. Homes England’s Capital Funding Guide encourages applicants to consider Shared Ownership homes first, as these are typically the preferred option if available. If a suitable Shared Ownership property is not available, you/the applicant, may be able to purchase a property from the open market through the HOLD scheme.

Each housing association may operate slightly differently, but prioritisation is generally given to those who meet all eligibility requirements and can demonstrate long-term affordability.

Where can I search for properties?

If you think HOLD or Shared Ownership could be the right paths to homeownership for you or your loved one, you can explore homes available through this affordable housing product via our property portal. Want to learn more before searching for a property? Explore our home-buying guides for more information.