I am self employed, am I eligible for Shared Ownership

As long as you can show at least three years of self-employed accounts, you should be able to obtain a mortgage

I currently receive benefits - am I eligible for Shared Ownership?

Benefits will not be included as income when assessing your affordability, therefore it is unlikely you will be accepted for a Shared Ownership property or be able to find a mortgage.

I already own a home - am I eligible for Shared Ownership?

If you already own a home, then you will not be eligible to purchase a Shared Ownership home

Shared Ownership Eligibility

What is the eligibility criteria for Shared Ownership?

Young couple unpacking boxes in their new Shared Ownership home

For those looking to buy a Shared Ownership home, there are some eligibility requirements that must be met. The general eligibility criteria for Shared Ownership is as follows:

You must be at least 18 years old.
Outside of London your annual household income must be less than £80,000.
In London, your annual household income must be less than £90,000.
You cannot own another home. Shared Ownership purchasers are often first time buyers but if you do already own another property (either in the UK or abroad), you must be in the process of selling it.
You should not be able to afford to buy a home suitable for your housing needs on the open market.
You must show you are not in mortgage or rent arrears.
You must be able to demonstrate that you have a good credit history (no bad debts or County Court Judgements) and can afford the regular payments and costs involved in buying a home.

You should have savings or be able to access at least £4,000 to cover the costs of buying a home. This is a guideline figure – the actual amount may vary.

In regards to a deposit, you will generally need between 5-10% of the equity share that you are purchasing. For more information, check out the costs associated with buying a Shared Ownership home.

Please note: The housing association who are selling the property may also have their own eligibility criteria, so it’s always worth checking what their requirements are too.

For more information you can visit our article index, or start your property search on Share to Buy today!

Search our Guides and FAQs

Is there a maximum income threshold for Shared Ownership?

If you are looking to purchase a Shared Ownership property in England, the maximum household income is £80,000. In London, your annual household income must be less than £90,000.

The maximum household income is the income of any member of the household involved in the purchase. This means if you are buying with a partner, the household income would include both of your salaries and any other income you receive.

For further information about the costs associated with Shared Ownership, please visit our guide here.

Is there a minimum income requirement for Shared Ownership?

There is no set minimum income allowance for Shared Ownership. Each property will have its own valuation and the housing association will determine the minimum income required for that property to be affordable to people earning under the maximum allowance threshold. If you have a large amount of cash to put down on a property this may make the minimum income more affordable.

For further information about the costs associated with Shared Ownership, please visit our guide here.

I already own a home - would I be eligible for Shared Ownership?

If you already own a home in the UK or abroad, you will not be eligible to purchase a Shared Ownership home. If you do own another property, you must be able to prove that you are in the process of selling your current home to be eligible for the scheme.

Existing home owners must have sold the property, or had their name removed from the mortgage, before they can exchange contracts on a property bought through Shared Ownership.

I have a poor credit history - would I be eligible for Shared Ownership?

In order to buy a home, you would need to be able to take out a mortgage. If your credit history stops you from doing this, then you would not be able to proceed.

However, we would recommend speaking to an independent mortgage advisor who can assess your case and outline your budget to help you in your search for a home. Credit score is taken into consideration and you’ll get a better understanding of this during your assessment.

To discuss your options, you may wish to contact the firms on our Mortgage Broker Panel.

I'm in arrears - can I still buy a Shared Ownership home?

When referring to rent arrears, this is the legal term for a debt that is overdue or missing.

You could still be eligible for Shared Ownership if you are renting a property – given than you meet the eligibility criteria – but not necessarily if you are behind on rent payments in your current home. If you are in arrears, we would recommend speaking with a financial advisor to discuss your options.

For more information about the scheme, please visit our Shared Ownership index.

My previous home was repossessed - can I still buy a Shared Ownership home?

Generally speaking, it is possible to get a mortgage even if you’ve had your property repossessed in the past. However, this will depend on each individual lender and their criteria.

We would recommend that you speak with a financial advisor to the discuss the options available to you.

I'm self-employed - would I be eligible for Shared Ownership?

As long as you can show at least three years of self-employed accounts – and providing your income is sufficient – you should be able to obtain a mortgage. You should seek independent financial advice about suitable mortgages and about managing the ongoing costs of home ownership if your income varies from year to year.

For further information about the costs associated with Shared Ownership, please visit our guide here.

I'm retired - would I still be eligible for a Shared Ownership home?

As long as you meet all of the eligibility criteria then you can still purchase a Shared Ownership home during retirement. In most circumstances, you would either need to pay for your share in cash or the mortgage you’re getting would be based on the pension that you receive.

For buyers over the age of 55, there is also the option of buying through the Older Persons Shared Ownership scheme.

I'm in social housing - can I buy a Shared Ownership home?

Previous assessments in regards to social housing shouldn’t cause any issues when applying for a Shared Ownership home. However, allocation will be down to the relevant housing association if there is more than one possible purchaser for a home.

To be able to purchase a Shared Ownership home, you’ll also need to meet certain affordability and eligibility requirements. We would recommend speaking with a financial advisor to discuss your options.

I currently receive benefits - would I eligible for Shared Ownership?

Benefits are generally not included as income when assessing your affordability. Some mortgage lenders will accept benefit income if it is permanent, meaning that it’s not subject to review, but there does usually have to be some earned income as well.

For further information about the costs associated with Shared Ownership, please visit our guide here.

I don't have permanent rights to remain in the UK - would I be eligible for Shared Ownership?

You may be able to apply for a mortgage, but you will need to demonstrate that you have a least two years remaining on your visa and have a deposit of 25% of the share or three years remaining on your visa and a deposit of 20% of the share.

If you are able to demonstrate that you can get a mortgage and maintain the payments, you may be able to buy through Shared Ownership. You will have to undergo a financial assessment with a financial advisor working with the housing association you buy through to assess this.

I'm not a UK / EU citizen and don't have indefinite leave to remain - would I be eligible for Shared Ownership?

Some lenders will allow EU/EEA residents to have a minimum 2 years UK address history. If you are a non EU/EEA citizen, then lenders will require a full 3 year UK address history.

Can I buy a Shared Ownership home with family, friends or strangers?

There is no requirement that joint purchasers of a property are either family members or in a relationship. However, apart from any personal considerations, it would be sensible to have a robust legal agreement drawn up by your solicitor, covering such points as what happens if one of you is unable to maintain the financial contributions or wishes to leave the arrangement.

Remember that with a joint mortgage, all parties are equally liable which means that if one of you cannot or will not pay, the other is legally responsible for the whole amount.

To discuss the legal aspects of buying a Shared Ownership home, you may wish to contact the firms on our Solicitors and Conveyancing Panel.

Would an existing medical condition affect my Shared Ownership application?

An applicant’s health is not taken into consideration when applying for a Shared Ownership home. Instead, the relevant parties will review your financial status when trying to find a home to suit your needs.