Shared Ownership Mortgages

I need advice for a possible shared ownership mortgage. Looking at 90% mortgage of 50% purchase. Which lenders would be best to look at, as I have never had a mortgage to draw any experience from. Any advice would be beneficial, thanks in advance.
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  • kingstreetkingstreet Forumite
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    Assume it's newbuild?

    Abbey, Halifax, Leeds, Newbury, Santander Direct and Ulster Bank (NI) come up for a 50/50 share at 90% LTV. I asked for broker and direct products and that's what I got.

    Newbury is restricted to certain postcodes - BA, BH, BN, BS, DT, GL, GU, HP, OX, PO, RG, RH, SL, SN, SP, SO.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
  • OrpheoOrpheo Forumite
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    gug66666 wrote: »
    I need advice for a possible shared ownership mortgage. Looking at 90% mortgage of 50% purchase. Which lenders would be best to look at, as I have never had a mortgage to draw any experience from. Any advice would be beneficial, thanks in advance.

    You should read the main thread on this topic before becoming a tenant of a shared ownership property.

    http://forums.moneysavingexpert.com/showthread.php?t=3177256
    Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam
  • gug66666gug66666 Forumite
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    All info is good info & I will draw a conclusion from what I learn. I can see all view points, at present paying more private rent than I would be on a shared property will mean that I am at least owning part of a property, rather than paying someone else's mortgage. Now forty & have been holding off making a purchase until houses come down for the last ten years, telling my wife each year it will happen. Everything is a risk, just depends on how you view it. Will never be able to save enough of a deposit to afford a property on the open market that would be big enough for our family of four, without possible schemes like this. I will move forward with the info & post progress & concerns.
  • Please don't think its a scam. Its a good idea for many reasons. If you unfortunately lose your job, then the rent half can be covered by housing benefit, the scheme allows you to enter into purchasing and the staircasing allows you to purchase 100% in time; making it much easier to sell in the future.

    People do have quite inflated opinions of shared ownership, but most of them are not in a shared ownership scheme themselves!

    By all means, research thoroughly, but do not be scared off by people who think its a 'scam'. ;)
  • geoffkygeoffky Forumite
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    its not a scam its just for the financially illiterate...
    It is nice to see the value of your house going up'' Why ?
    Unless you are planning to sell up and not live anywhere, I can;t see the advantage.
    If you are planning to upsize the new house will cost more.
    If you are planning to downsize your new house will cost more than it should
    If you are trying to buy your first house its almost impossible.
  • poppysarahpoppysarah Forumite
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    Please don't think its a scam. Its a good idea for many reasons. If you unfortunately lose your job, then the rent half can be covered by housing benefit, the scheme allows you to enter into purchasing and the staircasing allows you to purchase 100% in time; making it much easier to sell in the future.

    How will most people afford to staircase if they can't buy 100% now?
  • poppysarah wrote: »
    How will most people afford to staircase if they can't buy 100% now?


    Because circumstances change? I'm 23 and a junior doctor - I am aware that in the next 5 years my income will rise and as I save I can purchase more. This is the only way that I can purchase in a very affluent area of Surrey - where a 2 bed flat is around £300,000.

    Its worked for me.
  • geoffky wrote: »
    its not a scam its just for the financially illiterate...

    Very mature.
  • Mallotum_XMallotum_X Forumite
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    Make sure you read up on the horror stories first, then make your mind up.

    Personally I wouldnt go anywhere near one of these schemes. - Own a percentage and pay ren plus pay 100% of all repairs....
  • Mrs_ArcanumMrs_Arcanum Forumite
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    Kent Reliance used to do all the Shared Ownership mortgages for our company (prior to the Government pulling the plug on funding). Worth a try for you.
    Truth always poses doubts & questions. Only lies are 100% believable, because they don't need to justify reality. - Carlos Ruiz Zafon, The Labyrinth of the Spirits
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