shared ownerships your thoughts

Graham_Devon

Cat, can I ask, are you involved in property? Maybe Landlord?

You seem intent on pushing people away from these schemes, for no valid reason (you have yet to give one thats actually true in all cases).

I have found it's mainly landlords against these schemes, as it does take potential business. Also, I have found a lot of snobbery from those who do have money and don't seem to understand how hard it actually is to buy at todays prices.

geoffky

Shared ownership is failing to act as a stepping stone to full home ownership, leaving many people in worse positions than if they lived in other types of housing, researchers have found.

A Joseph Rowntree Foundation investigation shows that only a very small proportion of residents are actually able to move into full
ownership.

While some shared owners are able to move on due to improvements in their finances, many are unable to afford the greater cost of a full ownership mortgage, the study found.

Shared owners’ typical starting investment has declined from 50 per cent to 40 per cent, with 25 per cent shares now more common.

And evidence suggests that just 3 to 5 per cent of shared owners are able to move on to another property.
http://www.insidehousing.co.uk/story.aspx?storycode=6501770

MissDoherty

I am currently in the process of buying a SO property... I am 20 and have no other way of getting onto the property ladder. I currently pay rent (£500 non inclusive of bills). With my 25% share in my new property, plus the rent to the local HA and monthly service charge, it will cost me around £300. Call me stupid, but I've spoken to a handful of financial advisors who all believe it's a brilliant scheme, especially for someone in my position. I intend to stay in the property a few years, then sell my share once the housing prices have picked up, which hopefully will give me a big enough deposit for buying a full property.

Squish_21

llh189 wrote: »

I suspect that many people who diss these types of scheme only actually had to come up 5 or possibly 10 % or maybe nothing at all as a deposit.

There are still 95% mortgages available (try Nationwide). the rate is rubbish but i'd personally rather that than shared ownership!

ninky_2

fizzysweets wrote: »

Hi i am interested on peoples opinions on shared ownership propertys.

a dubious percentage of an overpriced asset currently falling in value. i wouldn't go there. plus you are not less exposed than with a normal mortgage. you need to keep up repayments.

Fight_Club

Can I ask a question? and sorry it's probably already covered somwhere.

I heard that in shared ownership the tenant/owner/whatever has to pay 100% of repairs? is this true?

poppysarah

Yup and they have to ask for permission to make changes such as new bathrooms etc.

ninky_2

i got this link on the ownhome scheme from another thread.

http://www.ownhome.co.uk/servlet/Satellite/1213946567253,CFSweb/Page/CFSCtplBlank

if you are a first time buyer or a keyworker looks like a much better option. you get 100% mortgage and some of the loan is interest free for 5 years.

MissDoherty

With regards to repairs... the HA pay for any defects on the property within the first year. Owners pay for repairs on boilers, etc after this time. Upkeep of the structure and gardens are maintained by the HA. And bathrooms can be changed without permission, it's only structural changes, i.e. extensions that need permission.

poppysarah

"upkeep of the structure and gardens are maintained by the HA"
Not for free though.