Shared Ownership question ?

Fred_Carno_2

I want to buy a house but have the usual problem of prices being out of reach of normal wage levels round here.( Family consists of 1 yr old baby + Partner, + my 2 children 2 nts per week).

I have been looking at shared ownership, and Homebuy schemes.
-Shared ownership - nothing available around here, when it does the chances of getting one are very low ( lots of people in "greater" need + higher up on the housing list).
-Homebuy - these funds go really quick and again the chances of actually getting grant are low.

I seem to narrowly miss out on qualifying for these schemes but am in need of assistance to be able to buy.

-Are there any other ways of getting on the housing ladder ?- are there any other bodies that fund shared ownership ? - ie builders ?

-Is there any way of linking up with a private investor who would benefit from the increase in property value, a rent , and the security of a tenant that part owns the property so will look after it ?( I guess a suitable legal agreement could be written up ) .

Anyone heard of this or can offer any advice please ?

Thanks

*Sparkle*_3

Have you thought about moving to a different area? where are you based there are loads of shared ownership schemes in london!

I have mine with metropolitian home ownership https://www.mho.co.uk.
There are private companies that build new homes and have to offer a certain amount of properties for affordable housing I.E shared ownership.

Have you contacted your local council for any schemes they might have going at the moment.

welnik

It may be worth giving your details to the housing associations and going on their list, you might get lucky.

I put my property on the market last year and by terms in the lease, I hadto give the housing association 4 weeks to find a buyer from their list. They sent round 2 people and from what I can tell, was a half hearted effort. There is no way they wrote to everyone on the list. When I sell, I will have to sell to a First Time buyer. I think my house will sell quickly as whoever buys it will only have to cough up £90,000 and for that they will get 5 beds, 2 bathrooms, downstairs loo, lounge, dining room,garage, good sized gardens front and room for 5 cars on the driveway!

You dont want it do you? LOL

newmum1

im currently buying a property through the shared ownership scheme im in brum and put my name on loads of lists and evenyually a property became available. try searching the different organisations within your area as there may be some lists that you are unaware of, hope this helps.......

AndrewSmith

Shared ownership is something that I am being asked about more and more these days.

As above the best advice is to get yourself registered with as many housing associations in your area as you can. Find them in the yellow pages or on google. You maybe surprised at how many there are and how quickly you may become eligable for a place.

Andy

sophistica

Think twice before doing shared ownership...you may find that property prices rise and you will be trapped paying both a mortgage and rent and only owning half of the equity in your property but being forced to maintain it. Think about an interst only mortage and moving area to find something that you can afford. Go to a good financial adviser - he will be paid by the mortgage company not you.

indiegirl_2

For those on the lower salary scales, S/O is a genuine option. Buying a house in this way isn't about making as much money as possible, in terms of Shared Ownership, it's getting oneself onto the housing ladder and hopefully making a small amount of equity to put towards an outright purchase in the future.

I would contact as many housing associations as possible - local and national ones. I completed on a s/o property last month (I'm a first time buyer on a low salary - and couldn't afford anything outright here in the South East), and my housing association was based in Nottingham when I first contacted them.

Going direct to the housing associations can often get your foot in the door that bit quicker - I know if I hadn't have gone directly to mine on a speculative application, I wouldn't be in my flat today.

Good luck!

lynzpower

It really depends on where you are living. Im in east london on a shared ownership property, and all was very striaghtforward indeed. I basically phoned round all the housing associations I could find ( thru the internet, the phone book, even via the housing department of the local authorities) and asked what they had to sell. They all sent me the blubs on them, some were affordable and in places I wanted to live, some werent. I came to see my flat (vacant) and sadi I wanted to buy it. They were selling at 50%/50% but i managed to ask them to come down to 40% to buy, which they accepted ( Im a singe person,mortgage only with me). the first place I saw I took.

When you talk of greater need, Im not sure thats always true but i guess on supply/demand in your area. I got a 2 bed ground floor garden flat ( just for me) as my aim at that time was to become a foster carer, but this plan is waiting on the wayside. I think you, partner and three kids is more of a "need" than me, but at the end of the day the housing associations IMHO are looking for someone who can complete asap and move easily. So get your mortgage agreed in principle when your names are on all the lists, this will potentially carve some weight when looking to buy.

Good luck.

*Sparkle*_3

sophistica wrote:

Think twice before doing shared ownership...you may find that property prices rise and you will be trapped paying both a mortgage and rent and only owning half of the equity in your property but being forced to maintain it. Think about an interst only mortage and moving area to find something that you can afford. Go to a good financial adviser - he will be paid by the mortgage company not you.

I dont agree with your comment.

I have brought 50% of my home(also in east london) and orginally paid £58,750 for my share, i would have never been able to get myself on the property ladder if it hadn't been for shared ownership.
Now my 50% share is worth around £80,000 thats a heck of a lot of equity i have in my share, i'm now remortgaging to buy the other half of my home, although i have to pay alot more for the 2nd 50% share its still worth it! I will own my own home and have around £27k equity in my property. :j
I believe that by the time the 2012 games get to east london my property will be worth alot more....

If i hadnt have brought a shared ownership property i would still be in a one bed council flat with 2 adults and two kids, not good...... :eek: