Share to Buy Expert Sessions: Your questions about homes
Shared Ownership Mortgages with Share to Buy
Is Shared Ownership available on houses as well as flats?arrow_downward
Shared Ownership is available on purpose built homes including studio flats, apartments, houses and townhouses amongst other property types. These properties are either new build homes or resales which are being sold by the current Shared Ownership.
You can search for Shared Ownership homes in your local area on Share to Buy’s property portal.
Is Shared Ownership only available on new build homes?arrow_downward
No – Shared Ownership is available on both new build and resale homes.
New build homes are purpose-built properties that are usually part of a larger development or area regeneration; a buyer of a new build property will be the first person to live in the home. Resale properties are homes that a current owner bought through the Shared Ownership scheme and wishes to sell on.
What are resales homes?arrow_downward
Resale properties are homes that a current owner bought through the Shared Ownership scheme and now wishes to sell on. With resale, you will need to purchase a share equal to or higher than what the current resident owns.
Is Stamp Duty applicable on new build Shared Ownership homes?arrow_downward
If you’re a first time buyer in England, you will not need to pay Stamp Duty on properties worth up to £300,000.
As a first time buyer, when purchasing a Shared Ownership property you will have the option of paying Stamp Duty on the full value of the property as if you were buying outright, or you can just pay Stamp Duty on the share that you’re purchasing. If you have already purchased your property and did not elect to pay the full Stamp Duty at outset, then you will not be liable to pay more Stamp Duty until you purchase an 80% share of your home via the staircasing process.
Can I purchase any property on a Shared Ownership basis?arrow_downward
Shared Ownership is only available on properties that have been built for that scheme by a housing association using a Government subsidy. Therefore, the option does not exist to make an offer on an outright sale property on a Shared Ownership basis.
Do Shared Ownership homes come furnished?arrow_downward
No – Shared Ownership homes will be unfurnished unless otherwise specified. However many homes, especially new builds, will include kitchen appliances such as a fridge, oven, dishwasher, etc.
Can I buy a property with more bedrooms than my household needs?arrow_downward
There are no restrictions on the property size you can buy. As long as you can afford it, you can apply for properties with as many bedrooms as you wish.
How does leasehold work with Shared Ownership home?arrow_downward
Most Shared Ownership properties are leasehold homes. To put it simply, leasehold ownership is like a long tenancy. Your lease will give you the right to occupy and use the home for a longer period – or the ‘term’ of the lease – which will usually be for 99 or 125 years. The home can be bought or sold during that time.
Can my leasehold home ever become freehold? What if I buy 100% of the property?arrow_downward
If you buy a Shared Ownership flat, you will only own the leasehold – this is the same if you were to buy on the open market. However, if you go on to buy all shares in a Shared Ownership house, you can discuss becoming the freeholder of the property with your housing provider.