Selling a shared ownership property

stubsy_2

Yeah these shared ownership properties are well over priced.

icebergx

bluejake wrote: »

And the lesson is don't touch a shared ownership property with a barge pole.

At the end of the day, if you can buy a shared ownership property at the right price, and the rent is cheap/sensible, they can be an equally good (if not better) an investment/place to live than buying outright.

There if a difference between the 'shared ownership' concept, and properties being over-valued. You can probably argue that all property have been over-valued over the last few years.

I recently sold a 2 bed shared ownersip property for £97k (40%) in London. The rental on the other 60% is £240 per month. His total outgoing per month are £770 per month. If her wanted to rent the eqivalent property, he'd be paying £950+.
He's planning to stay there for the long term and he needs a place to live.
You do the math!!!

mrsdarbs

Well, I have decided to stick with it at the moment and just leave it for sale on the HA website and not with a local estate agent. I am paying for it and decided not to rent, so it is sat empty. I am allowed to rent, but looking at the fee's it's just not feasible and I don't want the property to get damaged and then need repairs etc etc.

I will need to get it revalued in February and my fixed rate mortgage comes to an end then. Maybe after that I will consider putting it with a local agent - but at the moment I cannot afford the extra for the HIP.

Unfortunately there is no way of changing the value and selling price of the property as it is fixed and the HA will not allow any less. (Only the re-valuation will alter the sale price.) Unfortunately I am worried that once it is revalued it will be less and I am only just breaking even on it as it is priced now!

Does anyone know of any good websites or ways to try and sell this privately??

robin_banks

I think your tale sums up the whole sorry mess that shared ownership is.

pinkshoes

A friend of mine had a shared ownership 1.5 bed flat in Oxford (nice flat, shame about the location...), and he moved to Australia. He was allowed to rent to us for a year, although we were there 16 months, and the HA couldn't have cared less, and didn't even bother checking!

He then put it on the market after we left (20 months ago now), and it sold in a couple of months. I'm guessing the buyer didn't know what the area was like...

Cat695

At last proof starts to roll in about shared ownership.....May this be a lesson to all the people that come on here hoping to buy into these rip off schemes

mrsdarbs

When I fell pregnant, my partner and I looked at swapping the flat for a house on the same scheme - so glad I didn't bother now!

I am lucky that we get reduced rent where we are currently living otherwise we would not be able to afford it at all.

I would advise anyone to steer well clear of this unless you know - 100% - that you are not planning to move! It seemed like a good option when I got it, but it's the worst thing I could have done, my life had turned upside down (for the better) in the last 18 months and things have happened that I nver imagined would have when I purchased the flat.

It's just a nightmare at the moment. I think the problem is highlighted by the economic struggles at the moment, but I don't think it would have sold quickly even if the market had been good!

mrsdarbs

Had a friend cotact me today strangely enough about the flat as her father is a very experienced landlord and a very successful one at that and has offered his help. So I might end up renting for the time being if I can sort something out.

Thanks everyone for your comments.

stevebrewer

mrsdarbs wrote: »

I'm trying to sell my shared ownership and its a nightmare - I've tried selling it back to HA but they dont want to know. i havnt lived in my proprty for 3 years and have been trying to sell it for this time, but no-one will touch it. I'm seeking advise to see if i can sell it at the current value and clear my mortgage and just give back the HA whats left of the sale. I've got a tennant in mine at the moment till March and the HA have agreed this but i must sell in march. You should be able to pay for the HIp on completion of sale!!!
Many thanks[/STEVE]

AMILLIONDOLLARS

robin_banks wrote: »

I think your tale sums up the whole sorry mess that shared ownership is.

No it don't! It is telling the tale of the whole property market, she'd have just as much trouble selling if she owned it outright. Some building societies do not allow you to rent out your property, unless you have a BTL mortgage. With the way property prices are at the moment, Shared Ownership is here to stay, first time buyers are priced out of the market as wages do not cover the cost of living whilst saving for deposits, pushing the goal of home ownership further away with the time it takes to save. When they have crossed that hurdle they then have to worry about meeting the mortgage repayments on over price property etc. Its not perfect but it's a toe on the ladder, so there is room for improvement.

AMD