Shared Ownership Mortgage Advice

kaziz

Hi all,

I would like some information and opinions please. I am about to apply for a mortgage with the Halifax.

*information removed*

I am looking for £108,000 as part of a homebuy scheme (I'm buying a 60% share of a £200,000 property). We have a 10% deposit.

How likely is that we will be approved for a mortgage?

If anyone could give any advice about our situation or shared ownership mortgages it would be much appreciated.

BitterAndTwisted

With that sort of income and deposit I cannot for the life of me understand why you would be thinking of stepping into the quicksand that is shared ownership.

If there's any way that you could purchase via 100% ownership I would beg you to consider it, even if it's a less desirable property in a much less desirable area.

Have you read any of the shared ownership threads on this forum? It's not the buying that's the issue, it's when you want to move and sell up that problems suddenly appear.

ep015

When I bought a 50% share in my shared ownership property 18 months ago, I got my mortgage through Nationwide and they required a minimum of 25% deposit on the share I was purchasing. It may be different with Halifax but it's possible they'll need more than a 10% deposit? Otherwise, I'm not an expert but I can't see any reason you wouldn't be approved from what you've said. Good luck!

poppysarah

How much have you saved over how long?
Why not save up some more?

Laynee_82

Just looking at this thread, I'm in a similar position to yourselves. Halifax wanted £6,500 deposit on £32,500.

To those who know about s/o I am hoping to eventually own 100% of the property(it's a 3bed, family home), i'd just have to buy in stages. Would you still recommend saving and buying something outright?

kaziz

Thanks all for the replies. My wife and I have considered all angles of the ups and downs of shared ownership and have decided to proceed with the purchase. We are planning on staircasing when we have enough funds to do so. We got an agreement in principle from Halifax and all looks okay on that front.

ep015

Great, good luck with it all! I'm hoping to staircase in the future. I've heard bad things about Shared Ownership but it suits me, I now have my own place rather than sharing in a cramped flat with 2 others. I know there are no guarantees but I'd prefer to invest in something rather than line someone else's pockets. Hope it works out for you!