Shared Ownership Sales and Purchases

Expert advice whatever your home ownership journey.


How does Shared Ownership work?

Shared Ownership properties are always leasehold flats or houses and are provided by housing associations.

You go into partnership with the housing association buying a share in a property (between 10-75%) and paying rent on the rest.

The housing association continues to own the remaining share of the property and you pay rent on that remaining share of the property.

The housing association charge a fixed amount of rent based on the value of the property, subject to a maximum of 3%. Shared Ownership can be much cheaper than privately renting. You can sell your share of the property at any time.

For example:

Purchase Price: £150,000

Your 40% share in the property: £60,000

Rent: You would then pay the rent on the remaining £90,000 at a maximum rate of 3%. Therefore, the maximum your rent would be is £2,700/year or £225/month.

How can I qualify?

If your household income is less than £80,000 a year (£90,000 in London) then you are eligible to apply for a Shared Ownership home.

You can apply if you have owned a property before but cannot afford to buy one again, however first time buyers are more likely to be accepted.

Is Shared Ownership a good idea?

Shared Ownership is a good idea if you want to own a home, but you do not have the funds to buy a property outright. You will have security knowing that as long as you pay your rent and mortgage repayments you can continue to live in the property. It is also generally cheaper than private renting.

Shared Ownership properties are limited. An online check with your local Help to Buy Agent will show if shared ownership properties are available in your preferred location. You should also check whether local residents who already live in the area have priority for the Shared Ownership properties as this can be the case in rural locations.

You may need both a deposit and mortgage to buy into a Shared Ownership property.

What do I need to consider with a Shared Ownership property?

As well as the usual considerations when buying a house, there are matters specific to Shared Ownership which you need to think about:

  • The rent on the percentage of the property which you don’t own
  • Your rights to buy additional shares in your property, until you own it completely (Staircasing)
  • Are there restrictions on selling or underletting your home
How does Staircasing work?

Staircasing is useful as it will also decrease the rent payable to the housing association and increase your share in your home.

You will have to purchase at least 10% each time you staircase, although this does vary.

  • New leases for new build shared ownership properties have reduced this minimum percentage to enable shared owners to increase their share in the property in smaller instalments.
  • You may have to pay service charges, even after you own 100%.
  • Some Shared Ownership leases will only allow you to staircase to a capped percentage (such as 80%), although the majority do allow you to buy up to 100%.
  • If you want to buy additional shares you will need to follow the procedure set out in your lease.


Can you sell a Shared Ownership property?

Yes, however, the housing association has the right to purchase it first or find a buyer for your home who is eligible for Shared Ownership. The “pool” of potential buyers can be limited.

The sale price will be based on the valuation of your property at the time you sell and the percentage you own.

For example, if you own 50% of your property and the market value at the time of sale is £180,000, then the sale price for your share will be £90,000.

The proceeds of sale (after paying off your mortgage, legal and estate agent fees etc.) will go to you as the seller.

If you own 100% of the property you can sell it yourself. However, you should check your deeds  to see whether there are any requirements in relation to selling within the first few years of staircasing to 100%.

Got a question?

Complete our enquiry form

Ready to talk?

03330 150960

Excellent service - everything was explained every step of the way of the sale/purchase.
Client of Vicky Lee
Gardner Leader were the perfect partner in helping to execute the sale of our cottage. Exceptional care and service!
Client of Stuart Durrant
The team at Gardner Leader were very clear, concise and extremely helpful throughout this process. We would highly recommend GL and really value their input. GL were always on hand and provided more than 100% service.
Client of Stuart Durrant
Gardner Leader were outstanding in helping with the sale of the property, from the outset, I took all the paperwork in, met with the person dealing with our case and explained our situation. Sheyi was extremely efficient, kept me updated and offered additional help and advice when needed.
Client of Sheyi Lawale
Gardner Leader was highly recommended to me by a good friend, and I too think of them as a real asset! They are reassuring, patient, accurate, diligent, thorough, persistent, and kept me in the picture throughout the sales process. I highly recommend GL to anyone considering selling their proper
Client of Sheyi Lawale
Having previously used Gardner Leader I was very happy to use them again. First class service, efficient, friendly and highly recommended.
Client of Michelle Challis
Hana was incredible. She answered emails so quickly and always explained things clearly. I would highly recommend Hana and would 100% use Gardner Leader again.
Client of Hana Krilovska
Gardner Leader were fantastic is representing us whilst purchasing a new property. Gardner Leader made moving stress free!
Client of Angela Badcock

Meet the Shared Ownership Sales and Purchases Team

Meet the Shared Ownership Sales and Purchases Team