What You Can Buy In Different Areas With Shared Ownership
Shared Ownership can be confusing. Read our guide to see examples of what you could buy in different UK locations with a Shared Ownership scheme.
Shared Ownership is a government scheme that aims to make it easier for buyers to get on the property ladder through part owning/part renting. Essentially, the buyer pays a mortgage on the percentage of the property that they own and pays rent on the remaining amount. This means that the deposit they put down tends to be a lot lower than it would be if they were to purchase the entire property outright. This has made Shared Ownership a popular choice for those that are struggling to save large enough house deposit or have been priced out from buying in expensive areas such as London.
However, London isn’t the only place in the UK that offers this discounted scheme. Let’s take a look at what you can get in different areas of the UK with the Shared Ownership scheme.
How does shared ownership work?
Shared Ownership allows you to buy a share of a property. The share you are usually allowed to purchase is between 25-75% (however, there are different rules depending on whether you are buying in England, Scotland, Wales, or Northern Ireland).
As you are buying a share in a property (and not the whole property outright), you have to pay rent on the part you can’t afford to a housing association. See it as a ‘part rent, part buy’ scheme.
Pros and cons of shared ownership
Pros
You’ll be responsible for all home repairs, even if you don’t own all the property
You’ll have to pay rent as well as mortgage repayments
It can be difficult to ‘staircase’ if the value of the property increases over time
You’ll be responsible for the upkeep of the property, despite not owning 100%
Cons
Can get on the ladder quicker
Can buy additional shares in the future
It can be cheaper than renting
You can sell at any time, and you could benefit from any increase in the property value
Shared ownership in London
Block of flats in London with grass and planters in the foreground.
1 bedroom apartment for sale in Bermondsey, London.
Full price: £550,000
Sale price: £165,000
Share percentage: 30%
Minimum deposit: £8250
Shared ownership in Bristol
Three blocks of cladded white and brick flats against a blue sky.
1 bedroom apartment for sale in Central Bristol
Full price: £265,000
Sale price: £132,500
Share percentage: 50%
Minimum deposit: £6625
Shared ownership in Essex
Large brick building against a blue sky, with a steel balcony on the right hand side.
2 bedroom apartment for sale in Maldon
Full price: £260,000
Sale price: £130,000
Share percentage: 50%
Minimum deposit: £13,000
Shared ownership in Milton Keynes
Large block of flats with grass in the foreground.
2 bedroom apartment for sale in Maldon
Full price: £290,000
Sale price: £145,000
Share percentage: 50%
Minimum deposit: £7250
Shared ownership in Northampton
Three storey brick house with a white extension to the left.
4 bedroom house for sale in Northampton
Full price: £320,000
Sale price: £80,000
Share percentage: 25%
Minimum deposit: £4000
Shared ownership in the West Midlands
Large block of brick flats with a path leading through the centre of the image.
2 bedroom flat for sale in Birmingham
Full price: £125,000
Sale price: £62,500
Share percentage: 50%
Minimum deposit: £6,250