Second Home as shared Ownership

HulkaThor_19

Me and my partner recently purchased by first home as a first-time buyer 4 months back. Both of us are working in same company which is now planning to close it's facility and making us terminate from position. My partner found job in oxford and we want to move there. While looking for renting options, even single bedroom costs more than 1000 pounds which we can't afford while have mortgage on first home. So, I was planning to buy second home (as we have some amount saved for deposit), mortgage will cost less than rent (even for 2 bedrooms!!). We bought first home together as our borrowing limit allows it. We still have around 150k left in our limit, which is why I am looking at buying shared ownership properties. Is it legally possible? Is it worth to proceed with bank?

kingstreet

Unlikely to be possible. Government involvement in funding of SO means only one property can be owned at a time. Ask the housing association/registered social landlord.

Mark_d

I don't think the shared ownership scheme would allow it.  The schemes are intended for people who can't afford to buy rather than for people wanting a second home.

Buying a second home will also increase the amount of stamp duty you pay.

MWT

HulkaThor_19 said:

We still have around 150k left in our limit, which is why I am looking at buying shared ownership properties. Is it legally possible? Is it worth to proceed with bank?

...except you now only have one salary if I've read things correctly and you do have to declare that if you are making a new loan application.

On the shared ownership option I'll let others comment, but I don't think you are likely to qualify while you still own your current home, especially if you are not intending to sell it...

sheramber

If you own a home

When you buy a shared ownership home, you must have:

• formally accepted an offer for the sale of your current home (called ‘sold subject to contract’ or ‘STC’)
• written confirmation of the sale agreed (called a ‘memorandum of sale’) including the price and your intention to sell

You must have completed the sale of your home on or before the date you complete buying your shared ownership home.

https://www.gov.uk/shared-ownership-scheme/who-can-apply

silvercar

If you aren’t married and the numbers add up, you could see if it’s possible to transfer your current home to your ownership and your partner buy the home in Oxford in their name only. The numbers on the borrowing for both mortgages would need to add up ie would you partner be able to afford the new mortgage on their income alone? And would your current lender look kindly on you looking for a new job?