Shared ownership, anyone had any experience?

[xxhaylzxx]

Some new houses are being built in our town that are shared ownership properties which me and my boyfriend are interested in. We currently rent and feel like its dead money when we would really love to buy but not in a position to put a 10% deposit down and doubt we would get a mortgage as I am self employed and haven't been trading for two years yet. We would only need a 5% of the share we would be getting the mortgage for. I think we would be able to get the mortgage in my boyfriends name so I wouldn't be taken into consideration. Obviously there is rent on the remaining share we haven't purchased but still the total maybe just lower than what we would be paying purely in rent. You can also purchase further shares so in the future you could own 100% share of the house.

But my question is has anybody had any experience in shared ownership. Is worth it?

 

[AmberExt]

Yes I have a shared ownership. The day I exchanged it lost 20k as it was the day the recession was announced. I console myself with the knowldge in 25years I'll have 50% of a flat.... dont let me influence you thou, im bitter!

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[xxhaylzxx]

Well I suppose they say things are looking better in the property world. We would be looking long term with a three bed house and looking to eventually own 100% xx

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[Lipstick Kisses]

We have been looking into this as well if we can find somewhere nearby! Keeping an eye on this =)

 

[Sarah-Nail Tech]

I have a shared ownership property and have to say it's been fine! We own 50% of it and have 3chances to 'staircase' (but other shares upto 100%).
It's been a great stepping stone onto the property ladder and hope to stay here and eventually own 100%.
It is through Moat Housing who haven't bothered us at all. We are planning an extension soon too which they are fine with and just want to see the plans.
The only thing we struggled with was mortgage lenders and Moat would only accept the main high street lenders plus not all lenders will do shared ownership mortgages. The fact that I am part time and my partner was self employed also went against us!
Anyway, I would say go for it, even use it as a stepping stone as you could stay there to build up enough equity to then buy a whole house if you choose to move!

Any more questions please ask. xx

 

[xxhaylzxx]

Thank you for the replies. I'm thinking as we are thinking of it as a long term investment so going for a three bed so we would have enough room should kids come into the equation. So we would plan on staying for awhile until we had bought enough of a share to have made it worth it. It's just nice to hear from people who have actually done it rather than newspaper articles.

 

[Sarah-Nail Tech]

I know what u mean. We are planning to stay here long term which is why we are having an extension built to create another bedroom. It will also add value to the property making out share worth more! You need to check that you are eligible too as I think some part ownerships are subject to income xx

 

[jojemac]

When we looked at part ownership, they would only allow us a 2 bed flat, not a 3 bed house. Flat was non good to us when we want kids soon

 

[xxhaylzxx]

I think the development were looking at has a smaller two bed (one double, one single) a larger two (two doubles) or a three bed. So they determine which you can buy, you can't choose?