Shared ownership - some questions

Raposinha

Sorry long post!

Hello all. I'm hoping someone has some knowledge of shared ownership schemes and can help please.

I currently own (mortgage) a 35% share of a house. I bought it when I was single but have since married.
My husband and I would like to move to another town which is more expensive. It's a nicer area and the s/o development is right next to my son's school which will ssve us around £1k per year in bus fares.
We still fall under the £80k income limit...joint income is £66k. However I am worried that they will say we can afford to buy a house outright and therefore not allow us to purchase.
I have done some sums and the s/o payments would be around £400 per month less than a full mortgage. The higher amount I dont think is achievable for us. But I know from when I bought my current property they are quite fixed on what you have to buy % and what you can afford. I just dont know if I want to commit myself...it would be £900 a month more than we currently pay!

So I guess my questions are around eligibility, affordability, what do they take into account etc. Any guidance would be appreciated as I dont want to set my heart on this house and have to give it up. It's a new build and really beautiful.

Thanks in advance for any help.

ethank

Not sure what you are looking for, but remember that shared ownership means that you need to comply with housing need. It's difficult to get a three bed if you are a couple, if there is a family wanting that three bed.

sammyjammy

ethank wrote: »

Not sure what you are looking for, but remember that shared ownership means that you need to comply with housing need. It's difficult to get a three bed if you are a couple, if there is a family wanting that three bed.

OP mentioned at least one child in her post….

scholesfan88

That's not always true. I'm purchasing a new build 3 bed s/o property on my own as a FTB.

AdrianC

Your household is earning somewhere between £3,900 and £4,100 per month, after tax, depending on how that income is split between you. That's somewhere around twice the national average.

That's a substantial amount, and should allow you to buy a three-bed property outright in just about every region of the UK.

Yes, you may need to cut your other expenditures accordingly, but life is all about prioritisation. Stop thinking simply about the monthly outgoings, and look at the long-term benefits of sole ownership. If you really want to heavily prioritise monthly outgoings, then you may be better renting.

Shared ownership is not a panacea, is definitely not without drawbacks, and really should be considered no more than a lower rung on the ladder for those who need it.