If you’re looking to buy a home in the coming months or even years and you’re a first time buyer, Shared ownership should certainly be something you’re watching out for. In this day and age finding yourself a comfortable spot on the property ladder is not as easy as it used to be so any useful tips and shortcuts are always welcomed. Shared ownership is a great scheme that can get you on the property ladder a lot sooner than you might think and can certainly help when it comes to cost. So whether Shared Ownership Ebbsfleet sounds enticing or properties for sale Brighton sounds interesting, there is a shared ownership out there for you.
What is Shared Ownership?
Essentially, shared ownership allows you to part buy, part rent a property which will allow you to save money both on the mortgage repayments as well as the deposit you put down to secure the home. The biggest hurdle for first-time buyers is often securing the funds for a deposit on the house but that’s exactly when Shared Ownership comes in. As you only buy between 25%-75% of a property you only have to put a deposit down on this percentage, meaning you can put down as little as 5% for a property. For example, if your dream home is £100,000, a normal deposit of 10% would set you back would be £10,000, but if you’re only buying 50% of the property, you only need to pay a £5000 deposit. As the house cost is cheaper, this also lowers the amount you are paying in monthly mortgage repayments. Of course, the owner of the other 50% will still draw up a rental lease agreement for you to pay rent on the half of the house you don’t own. This is often around 3% but it can change so always check your lease to confirm.
All of this can make it so much easier to get on the property ladder in a sought-after area with your required number of bedrooms plus a couple of spare! It also means you only have to apply for a mortgage of this amount too, often meaning it will be easier to get accepted for one and payments will be far more comfortable. Shared Ownership is available through non-profit housing associations meaning you don’t have to contend with pricey private landlord costs or worry about them ever taking your property back. And with online portals like BeWest.co.uk offering a number of these affordable homes in areas like West London, the scheme is definitely worth taking notice of.
More for you Money
While you may want to go through the shared ownership scheme for the benefit of getting on the property ladder sooner and paying a smaller deposit, the scheme has also grew in popularity in London where First Time buyers are using the scheme to buy their dream home in the capital and avoiding the hefty costs that are associated with such a move. London has often been perceived as being off-limits for many buyers and renters as overseas buyers snap up new homes to rent out. But with Shared Ownership first time buyers are prioritised so you don’t have to worry about competing with the property investors for your dream home. With shared ownership Tower Hamlets and plenty of other up and coming commuter areas for the lively bunch of London’s young professionals, Shared Ownership has a great inventory of homes to choose from.
A diverse range
While London has a great deal of shared ownership properties to choose from, it’s not just sparkling apartments on the Royal Docks like The Refinery that’s up for grabs. There are also plenty of homes for Shared Ownership Brighton as well as rural gems in Maidstone and Kent. Whether you’re looking for a Victorian Town House or a spacious home amongst the cosy cottages in Smarden, there’s a whole host of properties in plenty of different areas all across the UK.
So however far you’ve got on your house hunting journey, Shared Ownership may just be something that opens your eyes a little more to what else is out there. So have a browse and see what you can find, it may just be the start of something exciting.