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What is shared ownership and is it for you?

Posted on: Thursday, August 4, 2022


The property market isn’t easy to navigate, particularly for first time buyers and those on a tight budget. If you’re considering purchasing a shared ownership property, read on to discover if it’s right for you.

 

How it works

Shared Ownership is a government scheme, offering first-time buyers and those who do not currently own a home opportunity to purchase a share in a new build or a resales property. Designed to help those with small deposits and incomes get onto the property ladder, the premise is to buy a stake and pay rent on the leftover amount. 

 

Shared Ownership is a government scheme

 

How to qualify

Criteria differs depending on the housing association, but generally to apply for shared ownership you must:

• Be 18 or over

• Not currently own a home

• Be unable to afford a suitable home

• Have a good credit score

• Earn £80,000 or less per year as a household

 

The Upside

If you opt for shared ownership, you will own a share of the property (typically between 25% and 75%) and a housing association will own the rest, which you will be charged for in rent at a rate much lower than market value. You can buy more of the property over time, but you only pay mortgage payments on your share, making the monthly cost significantly lower than a full ownership.

 

The Downside

Although there is the option to purchase more of the property over time, you can only add 10% each time, which is known as ‘staircasing’. In the time it would take to own 100% of your home, the house prices in your area could have increased, meaning you’ll have to pay more each time your house is valued. 

 

Find Your First Home with The Guild

Ready to search for your first home? The Guild are here to help. Our team of trustworthy professionals will guide you through the process whilst offering as much help and advice as possible.

 

 

 

What Our
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Have used Hardings for many year on both personal and commercial property deals. Have always found them to be transparent, honest, authentic, and a pleasure to work with. Will continue to use in the future.

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I would highly recommend Hardings Estate Agents. They have excellent knowledge of Windsor and the surrounding areas, and are extremely professional, responsive and courteous. I would not hesitate to using them again the future. I recently dealt with Milica who was instrumental in securing us our new home in Windsor as well as the sale of our existing property. She was a fab negotiator and a real pleasure to work with from beginning to end. Thank you!

Jonathon Beresford

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Hardings of Windsor managed our purchase with complete professionalism and went over and above in my opinion to manage the transaction and chain, resulting in a really smooth purchase. Milica at Hardings constantly provided timely updates and managed respective solicitors and the chain effectively, always responding quickly to queries. The whole transaction would not have happened without Milicas' focus on making all parties comfortable and satisfying all queries, not only professional but a delightful and welcoming personal approach that was a constant throughout. Thanks Hardings! Thanks Milica!

Stuart Blatch

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I would recommend using Hardings estate agents when buying or selling your property. Dominic (Scully) was always available, helpful and genuinely interested in my purchase and always calm and compassionate. If I ever move again my first choice will be Hardings.

Cath Powell

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Dom and the team at Hardings were so helpful and efficient when I purchased my flat - friendly and professional service and kept us up-to-date the whole way through the process. It was my first time buying and so was very nervous but they helped me feel at ease.

Freppell

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We bought and sold through Hardings and can't recommend their professional service enough. The whole Team are really lovely, we were kept informed throughout the process and never had to chase anything.

Natalie Quint

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I used Hardings when I bought my property as well as when I sold it and the service has been fantastic both times. I very much recommend Hardings!

Therese Jouini

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We recently purchased our new home with Hardings Estate Agents. The whole team there were very helpful and flexible with us, arranging viewings quickly on the same day. They were always quick to respond and if ever our point of contact was not there, the service did not change as they work well together as a team. We received a personalised service, which allowed the sale to proceed quickly. Thank you all and we recommend Hardings Estate Agents without hesitation.

Mike B

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What a pleasure it was to deal with Milica from Hardings. She sourced the perfect property for me and my family (while we were still abroad) and worked endlessly to put the deal together. I would give more than 5 stars if at all possible!

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Thank you, Dominic and Louisa - having not moved for over 30 years you helped me all the way, step by step. You were always polite, communicative, reassuring and very supportive. Would recommend Hardings wholeheartedly.

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How Much is Your Property Worth?

How Much is Your Property Worth?

A senior member of our sales team will visit your property to discuss current market trends and how your home; based on size, condition and location should be pitched to achieve the best possible price and buyer. Coupled with an excellent understanding of the local market we do a detailed analysis of what else has sold and what is coming onto the market so we can give you the best chance to capitalise on your biggest asset.

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