This scheme - known prior to April 2006 as 'Shared Ownership' - is a very popular arrangement where you purchase part of the property with a normal mortgage, and rent the other part at below open market cost.
Organisations offering shared ownership purchase schemes are Registered Social Landlords (RSLs).
The purchase/rent ratio can vary from scheme to scheme but the idea is that you purchase an affordable share of the value of the property and pay rent on the part owned by the landlord.
Further parts, usually in manageable tranches, may be bought later until you own your home outright. When further parts are bought, the cost of purchasing them will be on the basis of the value of the property at the time the additional parts are purchased. However, many development covenants now restrict ownership to a level that ensures that the home remains at a discount to market level.
New Build Information What property can I buy?
You need to choose a property that sensibly meets your family needs.
The scheme operator will assess your eligibility for a specific property
taking into account the size of your family and your financial situation.
What other costs are involved?
You will have to pay the usual property purchase costs - valuation,
survey and application fees to your mortgage lender, solicitors fees
including land registry charges, stamp duty if applicable and local
search fees.
Who is responsible for maintenance of the property?
Although you are not immediately the outright owner of the property
you will be responsible for all repairs and maintenance.
There are also specific New Build Home Buy schemes for Key Workers
Howards Affordable Homes East Anglia UK T: 0845 38 90 456
