how does shared ownership actually work???

before_hollywood

i know, silly question but thought it best to ask:

basically, i am a prospective first time buyer, but i can't find anything in my price range, except houses (well, flats) with 50% shared ownership, but was just wondering how it all works, anyone that can explain this in the clearest possible terms would earn by eternal gratitude.

Thanks in advance

lauraaurora

Hi, we're in Shared Ownership in Berkshire. Have a look at Thames Valley Housing's website and it explains it all.
But, a quick overview:
Our 3 bed house was for sale at £188,000. We bought a 50% share at £94,000 with a mortgage at The Leeds Building Society (£550 per month) and then pay TVHA £300 per month in rent on the other 50%. After a year you can staircase which means that you can buy more shares in your property. It's a minimum of 25% at a time, and of course you need to be able to get a mortgage for that amount. Unless you've come into some money
We're really happy here. A brand new house with new carpets, new kitchen equipment, freshly painted, and a rotary airer (!). Of course, we're paying for it, and there's no charity involved. TVHA are a profit-making company, but if it gets you on the housing ladder, it's definitely worth it.
Let me know if you want any more info.

Laura