Popular Questions

What is the minimum deposit I need for a shared ownership property?

This depends on a number of factors: the full market value of your chosen property; the purchased share value; your lender and your credit rating. Shared ownership deposits are significantly lower than if you were purchasing the property outright as you only need to raise funds for a deposit on a smaller share. The percentage deposit size is generally between 5% and 10 of the share, but your chosen housing association will be able to confirm.

What is staircasing?

Once you have bought the initial share of your shared ownership home, you can buy further shares and eventually own your home outright. This process is known as staircasing. You can buy as little as a 10% share per staircasing transaction. Limited to three transactions, to own your home outright you must achieve 100% ownership by your final transaction. At this point you no longer pay rent, although your mortgage payments may increase for the period of the mortgage term. The amount you pay is based on the market value of your property at the time you apply to staircase.

 

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