Shared Ownership Mortgage
Shared Ownership Mortgages Explained
Shared Ownership Mortgage schemes are used for part buy, part rent schemes commonly known as shared ownership.
These type of mortgage scheme are popular with first-time buyers because they only need to find a fraction of the deposit ( 100% mortgages are available, however the last lender to offer 100% has announced that as of the 28/08/2008 they will be withdrawing from the 100% shared ownership market) and mortgage amount needed to buy a similar property on the open market.
When you buy a shared ownership property, you only buy a percentage stake in the property, usually 25
to 50 per cent – from a housing association. Although this can be affordable, as you only own a percentage of the property you will miss
out on some of the equity growth if the housing market rises.
You can, however, staircase‘ which means buying another portion of the property later on.
Many of these shared ownership schemes, which often offer properties at a discount, are open to all comers through housing associations. Shared ownership mortgage schemes vary form lender to lender with some lending up to 100% loan to value on the purchased share.
Compare Shared Ownership Mortgages
Our shared ownership mortgage repayment calculator will allow you to compare the shared ownership mortgages available from the major mortgage lenders today. It is important to remember when comparing mortgage schemes that the rent payable to the housing association will be classed as a commitment when a shared ownership lender calculates the mortgage amount they are prepared to offer.
Shared Ownership Monthly Budgeting
It is important to make sure that the new shared ownership mortgage is affordable try Go Direct's mortgage budget planer to calculate how much you can afford for your new mortgage shared ownership mortgage.
shared ownership schemes
If you have not found a shared ownership home to purchase or wish to find out more information on shared ownership schemes visit the the Homes & Communities Agency website to learn more about the Government's Home Buy scheme. The Agency is the government agency that funds new affordable housing and regulates housing associations in England.
Shared Ownership Self Cert Mortgages
These mortgages are currently unavailable due to the current mortgage market difficulties. When the available again we will update this section.
Should you be unable to prove some or all of your income a self certificated mortgage may be right for you. There are a few shared ownership mortgage lenders who offer self cert mortgages on shared ownership purchases, even on 100% of the purchase price of the share. For details on shared ownership self cert mortgages please complete our mortgage enquiry form for professional independent shared ownership mortgage advice.
The overall cost for comparison is 4.1% APR. The actual rate available will depend upon your circumstances. Please ask for a personalised mortgage illustration. Rate correct as of 13/03/2014
Shared Ownership Mortgage Lenders
The last lender to offer 100% mortgages has announced that as of the 28/08/2008 they will be withdrawing from the 100% shared ownership market. The current maximum loan to value is 95% for a shared ownership mortgages.
There are several shared ownership mortgage lenders who will lend 100% of the share that you are purchasing, not all the shared ownership mortgage lenders will, for 100% shared ownership advice please complete our mortgage enquiry form.
Below are links to a selection of lenders who offer shared ownership mortgages:
- Abbey Shared Ownership Mortgages
- Britannia Shared Ownership Mortgages
- Cambridge Building Society Shared Ownership Mortgages
- Darlington Building Society Shared Ownership Mortgages
- Ecology Building Society Shared Ownership Mortgages
- Halifax Shared Ownership Mortgages
- Ipswich Building Society Shared Ownership Mortgages
- Kent Reliance Shared Ownership Mortgages
- Leeds Building Society Shared Ownership Mortgages
- Nationwide Shared Ownership Mortgages
- Saffron Walden Building Society Shared Ownership Mortgages
- Woolwich Shared Ownership Mortgages
Shared ownership Remortgages
With shared ownership properties remortgages are available from the main share ownership mortgage lenders. The allowable reason for remortgage is to transfer your existing mortgage to a more beneficial mortgage rate, or to staircase and purchase an additional share of the property. However unlike a traditional purchase many high street lenders will not let you remortgage for home improvements or debt consolidation. There are a few remortgage lenders how will allow remortgages for these purposes, for more details please complete the remortgage advice form.
Shared Ownership Bad Credit Mortgages
Due to the "credit crunch" bad credit mortgages for shared ownership are currently not available. When this type of mortgage is available we will update this site.
If you have been turned down for a mortgage or remortgage on a shared ownership property Go Direct have access to mortgage lenders who will lend to you. Mortgages & Remortgages for unlimited areas , ccj's. defaults and adverse credit are available, for more information on specialist mortgage lenders please complete our bad credit mortgages advice form.
The overall cost for comparison is 5.2% APR. The actual rate available will depend upon your circumstances. Please ask for a personalised mortgage illustration. Rate correct as of 13/03/2014
Fee Free Shared ownership mortgage advice
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Think carefully before securing other debts against your home, your home may be repossessed if you do not keep up repayments on your mortgage.
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We normally do not charge a fee for mortgage advice, however a fee paying option is available. Our typical fee would be £500