Shared Ownership FAQs
Answered for you
In order to purchase a Shared Ownership home, certain eligibility requirements must be met. Shared Ownership has the following general eligibility criteria:
Age requirement: 18 years or older
A household income of less than £80,000 outside of London (£90,000 within London) is required.
You do not own a home at the moment. A Memorandum of Sale is required if you already own another property (in the UK or elsewhere).
A house suitable for your housing needs cannot be purchased on the open market.
A good credit history is required (no bad debts or County Court Judgments) and the ability to afford the regular payments and costs associated with home ownership.
Help to Buy agents are appointed by Homes England. The Help to Buy agents administer headline eligibility for our Shared Ownership developments up until 1 April 2023.
From 20 March 2023 Shared Ownership and Rent to Buy customers no longer need to register with a Help to Buy agent.
As a shared owner, you're responsible for keeping the property in good condition and to repair anything you're not happy with. If you've purchased a house, you are responsible for the repairs and maintenance inside and outside. If you're living in an apartment, you're responsible for the repairs and maintenance of the inside of the apartment and you will contribute to a service charge for the upkeep of the external and communal areas of the building.
Generally, our new developments are advertised from 40%, however some of our Shared Ownership properties can be purchased from 25% but this can vary by development.
The share you purchase is determined by the affordability assessment carried out taking into consideration the property price, your income and any monthly outgoings. Applicants are offered the highest affordable share (based on household income, savings and any outgoing commitments such as credit cards, loans and childcare costs).
Please ask us for further details.
As our Shared Ownership properties are government funded, we are required by Homes England to carry out an affordability and sustainability assessment prior to confirming your eligibility for a Shared Ownership property. To enable us to carry out the assessment, we require your latest financial information.
When purchasing a new shared ownership lease, you can pay Stamp Duty Land Tax on either the full market value or on the share percentage you are buying.
If you pay Stamp Duty on the full market share, you are exempt from paying Stamp Duty on any future staircasing actions. However, if you pay Stamp Duty only the share percentage you are buying, you may have to pay Stamp Duty in the future when you staircase.
Please speak to your solicitor to find out more and exact calculation on the property you are purchasing.
Staircasing is a term that refers to increasing the share of the property you own. and in most cases (depending upon your lease) you can buy more shares, usually up to 100% meaning you own the property outright and no longer pay rent.
Some properties are subject to restrictions to the staircasing process so it’s important that you check the terms of your lease
The cost of additional shares is calculated by the market value of your home when you decide to start staircasing.
All homes purchased through Shared Ownership are leasehold. You will have a lease, usually this is for 125 years
If you go on to purchase 100%, the property will become freehold.
When the remaining number of years left on your lease falls below the accepted term for a mortgage lender (this varies from lender to lender but usually less than 80 years remaining) our procedure at EMH is for your existing Lease to be surrendered and re-granted using the modern form of the Homes England Lease. Your new Lease would be re-granted at 125 years.
There is a cost involved in lease surrender and regrant, which are the legal fees required to draw up your new lease. Please contact us to provide further information on the costs involved.
No, you are not able to sublet your Shared Ownership property. You are able to have lodger. (Subletting means renting out your whole house, lodging is just one room.)
Selling your Shared Ownership home is known as a resale. Please contact us for further information and to access a resale pack.
Yes, you can but if you intend to make any structural improvements to your property including a new kitchen or bathroom then please contact us prior to starting the works as we are required to consent to any improvements.
If you are buying a house, then there are usually no restrictions on having a pet. If you are buying an apartment, then there could be a restriction in your lease. Please refer to the lease of the property you are purchasing.
Our team are here to help you. Please get in touch if there are any further questions you have. Just click on the Contact tab at the top of this page.