Shared Ownership

Highlighting the Way to Your New Home

Shared Ownership is a government-backed scheme designed to help first-time buyers and individuals who do not currently own a home get on the property ladder. Through this scheme, buyers can purchase a percentage share of a new build or resale property, while paying rent on the remaining share owned by the housing provider. This approach reduces the upfront cost of purchasing a home, making it a more affordable option for many.

Highlight works closely with housing providers to facilitate the sale of homes on a Shared Ownership basis. By partnering with developers, local authorities, and housing associations, we aim to ensure that buyers have access to a wide range of properties suited to their needs and budget. Highlight provides expert sales and marketing services, guiding both buyers and providers through the process.

How does it work?

Focus on Shared Ownership

Shared Ownership is a government-supported program designed to make homeownership more accessible.

You begin by purchasing a share of your home, with the percentage tailored to your financial circumstances. Shares can start as low as 10%, but most buyers typically purchase between 25% and 75%.

With Shared Ownership, you typically only need a 5% deposit on the share you buy, making it easier to secure mortgage approval and step onto the property ladder.

Over time, you have the option to buy additional shares, gradually increasing your ownership until you fully own your home.

Eligibility Criteria

You can buy a Shared Ownership home if:

You are at least 18 years old and a permanent UK resident
You do not own (or part-own) a property at the time of completing on your purchase
Your household income before tax is less than £80,000 a year (or less than £90,000 a year in London)
You can afford the deposit and other one-off costs

Local connection tests may also apply meaning you must have a strong connection to the area, being your current residence, immediate family, or work.

Start Your Journey

The steps to finding A new home

Submit Application

Understand Your Budget

Search for a New Home

Reserve Your Property

FAQ

Shared Ownership Explained

What properties can I buy on a Shared Ownership basis?

Shared ownership is only available on selected properties. Search ‘Find a Home – Shared Ownership‘ to see which properties are available to purchase on a shared ownership basis.

Is Shared Ownership only available on new build properties?

Shared Ownership is available on new build properties, or properties originally sold on a shared ownership basis where the leaseholder is looking to resell.

Does Shared Ownership mean I share with someone else?

No. Whilst a common misconception, you do not share ownership of the property with someone else. You instead purchase a percentage share of the property, usually between 25% and 75% of the open market value. The housing provider retains the share you don’t yet own.

What are the costs?

Each month, you’ll need to cover the following expenses:

•Mortgage payment: This applies only to the share you own.
•Rent: Payable on the share you don’t own—the larger your share, the lower your rent.
•Service charge: Covers maintenance of communal areas in your building or development.
•Homeownership costs: Includes household bills, interior upkeep, and contents insurance.

Other costs may apply.

Is it easy to resell a shared ownership property?

As a first step, you will need to inform the housing provider of your intent to sell your share of the property.

It’s essential to familiarise yourself with the terms outlined in your Shared Ownership agreement. The housing provider may have the right of first refusal, allowing them to attempt to sell the property on your behalf before you can market it independently via Highlight, or a high street estate agent. Additionally, there may be restrictions on eligible buyers, such as requiring the next purchaser to acquire a share equal to or greater than your current ownership level.

Can I buy more shares?

Yes, the process of buying additional shares and owning more of the property is known as ‘staircasing’.

Whilst the potential to ‘staircase out’ to 100% is common, it is important that you understand if there any restrictions which restrict you from owning the property outright.

Who is responsible for repairs?

All repairs and maintenance to the home are the responsibility of the leaseholder, regardless of the share you own.

Depending on your lease agreement, ‘essential repairs’ could be covered by the housing provider.