Shared Ownership Mortgages
Shared Ownership Mortgages UK | Affordable Home Buying
Own Your Home with a Shared Ownership Mortgage
Looking for a way to get on the property ladder with a smaller deposit? Shared Ownership mortgages are a great solution for first-time buyers and those struggling to buy outright. At Drummonds Finance Group, we specialise in helping clients across the UK secure Shared Ownership mortgages with affordable terms.
🎯 Get Expert Shared Ownership Mortgage Advice
🏡 What Is a Shared Ownership Mortgage?
A Shared Ownership mortgage allows you to buy a portion of a property (typically between 25% and 75%) and pay rent on the remaining share. You can increase your ownership over time through staircasing.
Shared Ownership mortgages are ideal for:
First-time buyers
Key workers (including NHS staff)
People with smaller deposits
Those struggling to afford a full property purchase
Benefits of Shared Ownership Mortgages:
Lower deposit requirements (from just 5% of your share)
More affordable monthly repayments
Opportunity to buy more of your home over time
Access to new build and resale properties
✅ Who Is Eligible for a Shared Ownership Mortgage?
You could be eligible if you:
Earn less than £80,000 a year (£90,000 in London)
Are a first-time buyer or a former homeowner who cannot afford to buy now
Are currently renting a council or housing association property
Have a good credit history and can afford mortgage and rent payments
Shared Ownership is open to individuals, couples, and families.
📈 How Shared Ownership Mortgages Work
Choose your Shared Ownership home – available through housing associations and developers.
Secure a Shared Ownership mortgage for the percentage you wish to buy.
Pay rent on the remaining share – usually at a subsidised rate.
Staircase when ready – buy more shares over time, up to 100% ownership.
Example:
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Property value: £250,000
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You buy 40% = £100,000 mortgage
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Pay rent on the remaining 60%
💡 Tip: Some schemes offer incentives like free rent for the first few months or help with legal fees!
Which Properties Are Available for Shared Ownership?
Shared Ownership homes are typically newly built properties or recently built resale homes managed by housing associations or registered providers. These properties are specifically allocated for Shared Ownership schemes and may include apartments, houses, and maisonettes.
Will My Shared Ownership Property Be Freehold or Leasehold?
In most cases, Shared Ownership properties are leasehold. This means you own your share of the property for a set period, usually between 99 and 125 years, with the opportunity to extend the lease or buy the freehold later if permitted.
Can I Ever Fully Own a Shared Ownership Home?
Yes, Shared Ownership allows you to buy additional shares through a process called "staircasing." Over time, you can increase your ownership until you eventually own 100% of the property.
What Happens If the Value of My House Changes?
If your property's market value increases or decreases, it will impact the cost of buying additional shares or selling your home. You pay for new shares based on the current market valuation, not the original purchase price.
What If I Have Bad Credit – Can I Still Get a Shared Ownership Mortgage?
It’s possible, but it can be more challenging. Some specialist lenders may approve Shared Ownership mortgages for applicants with adverse credit, provided you meet certain affordability and deposit requirements.
How Do I Sell My Shared Ownership Home?
You can sell your share at any time. Usually, the housing association has the first option to find a buyer. If they can't, you can market your share independently on the open market.
Can I Make Home Improvements to My Shared Ownership Property?
You can usually make minor improvements like decorating, but for major renovations or structural changes, you will need written permission from the housing association or landlord.
How Does Stamp Duty Work for Shared Ownership Properties?
You can choose to pay Stamp Duty on the full market value of the property upfront, or only on your share initially, with additional payments due later if you staircase to full ownership.
What Are the Advantages of Shared Ownership?
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Lower upfront deposit requirements
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Reduced monthly mortgage repayments
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Opportunity to increase ownership over time
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Access to new or nearly new homes
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A step onto the property ladder for lower-income households
How Do I Apply for a Shared Ownership Scheme?
Start by contacting a mortgage broker, such as Drummonds Finance Group. We'll assess your eligibility, help you secure mortgage approval, and guide you through the Shared Ownership application process with housing associations.
📣 Why Choose Drummonds Finance Group for Shared Ownership Mortgages?
✅ Access to over 100 lenders, including Shared Ownership specialists
✅ Expert knowledge of housing association and developer schemes
✅ Free consultations and tailored advice
✅ Fast approvals to help you secure your dream home quickly
Disclaimer: Eligibility and availability of Shared Ownership schemes may vary. Always speak to a qualified advisor.