Shared ownership

mistyarthur

I'm hoping someone will be able to offer some advice here.
I currently have a mortgage (16k left) this was taken out when I was 21 due to family circumstances and my mother being unable to get a mortgage. She is currently on dla so can't take on the mortgage.
I'm looking to purchase a property but because of other commitments the bank will only give me a 60k mortgage. For what I want to purchase this would work but with a 50% shared ownership. I don't qualify though because it would be a second home? The only other option is to sell the current house and then apply for a shared ownership? Even then I think they'd be asking where all the money from the house went? I also don't want to put her through moving. Can anyone see any other possible options?
Thanks for any help!

libf

I think (although I'm not sure) that if you can find a shared ownership home being re-sold on the open market (rather than through a housing association) then you can have it as a second home as you won't have to pass the housing association vetting...

binerds81

Is the shared ownership property that you want to buy for you to live in, or your mum, or you both?

I am in the process of buying through shared ownership and I think every housing association has their own criteria of who can be considered for a shared property. Even if the house is being marketed by estate agents, it is still up to the housing association who is allowed to buy it and you have to put in an application with them to show you meet the criteria. A mortgage lender will want to see a copy of an application acceptance or memorandum of sale before they send out a mortgage offer so you need to have been approved for that property first.

From memory on my application, you couldn't have someone on the mortgage that wasn't living there, you couldn't own another property although you could sell one to move in if you fitted the other criteria, you had to earn less than £60,000 household income and had to have local connections.

Not sure if that really helps, but I would contact the housing assoc. and ask them what their criteria are to check first.

mistyarthur

Thanks guys ill give them a call then. The new property would just be for me to move in to and she would be staying at the current house.