Shared ownership owner - can I buy a 2nd ‘open market’ property?

Mullerice

Currently own a shared ownership property. 

I would like to move, and found a great home that needs asap completion. Will not be able to sell the SO property before completion. 

Is there anything legally or otherwise, that is tangible and not just hearsay, that is preventing me from purchasing a second home? 

I am aware of the additional refundable SDLT, I will not let out any property, I can afford both mortgages and have the AIP. 

I will remain living in the SO property until it is sold. 

I don’t care much for the “spirit” of shared ownership, as this seems to be the only information I can find online that suggests it’s not ok to do - but never any actual evidence in legislation or otherwise. 

My lease does not as far as I can see prevent me owning other property. Just says I must live in the SO as my primary residence. 

Is there anything legally preventing me
from buying another home and not living in it? 

Thanks in advance for any links to solid information etc! 

silvercar

Nothing that will affect you greatly. Worst case the SO people send you a letter saying you can’t own two properties, if it’s true, and you reply that you are selling the SO. 

gwynlas

What  would be the problem with you buying on the open market and making your SO property available for someone else in need?
Purchase is down to affordability and you say that you already have AIP  with lender knowing SO property to be sold.
There are no restrictions on you or anybody else giving up a secure HA tenancy to move on.

user1977

Mullerice said:

My lease does not as far as I can see prevent me owning other property. Just says I must live in the SO as my primary residence. 

Your mortgage for the new property will no doubt say similar though.

monkey-fingers

user1977 said:

Mullerice said:

My lease does not as far as I can see prevent me owning other property. Just says I must live in the SO as my primary residence. 

Your mortgage for the new property will no doubt say similar though.

But would it?

When I bought my previous house, we didn't move in for 2 months, because we were still in rented and it gave us the opportunity to do-up our purchase.

We checked with the mortgage company and they were quite happy.

user1977

monkey-fingers said:

user1977 said:

Mullerice said:

My lease does not as far as I can see prevent me owning other property. Just says I must live in the SO as my primary residence. 

Your mortgage for the new property will no doubt say similar though.

We checked with the mortgage company and they were quite happy.

But what did their mortgage conditions say about it? Standard residential mortgages typically require you to occupy it as your main residence, not just leave it empty (e.g. from Halifax's conditions: "What you must do regarding your property - You agree to the following: You must use your property as your only or main home".

And the OP seems to be suggesting a longer gap than 2 months if they haven't even started marketing their current property.

Insurance will also be an issue for any property left unoccupied for a lengthy period.

ian1246

I'd say get the shared ownership on the market (maybe hold off until the new year?) & crack on with your onward purchase. Ultimately the whole "primary residence" is a moot point if your selling the shared ownership - just be upfront with both the SO & Mortgage company with your plans.