Shared ownership

2314sadie

Hi our son is buying 70 percent of a housing association property I think the most he could buy is 80. His fianc! is paying the rental element as she is recently self employed and wouldn't be eligible for mortgage and she will pay council tax. For fairness surely she should be on the official documents too as having a 70 percent share or will she anyway as its a shared ownership? Doesn't seem as straight forward as when my husband and I just got a joint mortgage and both owned property! I would hate her to think she is being disadvantaged and I know this house is their first step on the housing ladder so eventually they probably will have a joint mortgage. Advise options welcomed!

kingstreet

You can't be party to the ownership if you aren't party to the mortgage and if you're party to the mortgage but don't have a verifiable income, you are treated as a dependent and the maximum possible mortgage is reduced.

Have a play with a lenders affordability calculator and see what I mean. Do two applicants with two incomes, then two applicants with one income, then one applicant with one income.