Is Shared Ownership right for us at our age?

DeeGee1

Me and my husband are 48 and 52 years old. We live in a 2 bed house, a private rental which we've had for the last 2.5 years. We're both full time employed and we've just spent our £6,000 savings on our wedding. We didn't realise that we qualified for shared ownership until recently but can't decide if we should go ahead. We've no dependents and before we met, we were both home owners. I had a business but in 2007 declared myself bankrupt as a result of the recession and lost everything. I've worked hard to build up my credit score which is now in the 'excellent' range. My husband was married before but their house was sold with negative equity so he came away with nothing. He too has an excellent credit score. I guess my question is, what is the benefit of us having a mortgage at our age? Should we carry on renting but what is the long term consenquence? Positive or otherwise? If we buy, we have no one to leave it to when we die so my husband thinks 'what's the point?'. I'm afraid for our old age and I think that having a shared ownership property will at least give us some security at that time. However, my husband (who's mum is 92) says she's never owned a house in her life and she's not without a home. (She lives independently in a council property). He's had his own home since he was 17 and having lost it all in his divorce, I think he feels we'd gain nothing by buying somewhere (shared or otherwise). Help! Do we just carry on renting and hope that we qualify for council housing in our old age? Or, should we buy a shared ownership property? (if we can save the deposit!). Me losing my business and him losing his home have left us in a vulnerable position and at our age, it's unlikely we'll ever make back what we've lost. We're happy and we have each other but the future worries me.

Fire_Fox

Welcome! You can continue to let privately indefinitely, you don't need a council house in later life?

You would need to save more than a deposit, you'd also need legal fees and survey, three months mortgage payments in savings in case you fall ill or injured, get made redundant and cannot work, consider how you are going to fund repairs and maintenance. You would also only get a mortgage up to retirement age, not a full 25 year term.

DeeGee1

Thank you Fire Fox, that's very helpful. My concern with private rental long term is that prices go up and in our old age - will we ever be able to afford it once we're drawing a pension? However, as you say, that may be offset by the fact we won't have to pay for repairs like we would with our own house. We've been approved a mortgage in principal, over 15 years, which, in reality we'd only be able to pay off the 50% share, I think it's unrealistic to think we'll be able to buy the property outright with the time we have left and the salaries we now earn.