75% shared ownership flat--should I go all out with mortgage to staircase to 100%?

lama_pdx

There are 75 flats in this block.  I didn't realise that all leases would need to be changed.

I know some of my neighbours in the buildings are renters, rather than owners.  The couple next door to me, for instance, are house hunting and have mentioned they're on a month-to-month tenancy in their flat.  Maybe they're "renting" off the books.  I don't know them well enough to ask that of course.

lama_pdx

Oh that's a really good idea, trying to get a lease variation confirmed before I staircase.  I'll see what my sol thinks of that.

lama_pdx

Another consideration is that I was looking to do some simply renovations (replacing carpet) and I just thought, why am I paying for renovations on a place I don't own entirely?

I guess it's just the payoff for shared ownership.  It was the only way I could afford a decent place in a good location.

HampshireH

lama_pdx said:

Another consideration is that I was looking to do some simply renovations (replacing carpet) and I just thought, why am I paying for renovations on a place I don't own entirely?

I guess it's just the payoff for shared ownership.  It was the only way I could afford a decent place in a good location.

Why wouldn't you put carpets in your home? The only person that benefits is you. Your landlord won't care and it won't increase the value.

But yes it is. It's an avenue to help people become homeowners. 

With 75 others in the block either the HA don't care if properties or rented or people are risking it.

lama_pdx

Yes I suspect the "renters" in my block are risking it.  

Thanks for the insights everyone.

Slithery

lama_pdx said:

Yes I suspect the "renters" in my block are risking it.  

The renters aren't risking anything, the landlords are.

lama_pdx

True--possession and an unlawful profit order.  No thanks!

I am leaning towards staying at 75% in that case.  Focus on paying down my mortgage and building up savings, see where I am in five years.

rexmedorum

is there any reason you're looking at buying100% of a shared ownership property?

Would a normal purchase not be better, given the likley added flexibility regarding renting out and easier future sale? Or would that be much more expensive?

lama_pdx

Yes, thinking laterally it would make more sense to buy a normal place! It would mean relocating to another area. Personally I'm not ready to do that. Maybe a good plan would be to save up and see where I am in five years.