If you can’t quite afford the mortgage on 100% of a home, Shared ownership offers you the chance to buy a share of your home (Initially between 25% and 75% of the home’s value) and pay rent on the remaining share. Later on, you can buy further shares or purchase your property outright.
Buying a larger share is called stair-casing, and as you buy more shares you pay less rent. In some instances you may have to live in your home for a year before you can buy more shares and in rural areas stair-casing can sometimes be restricted.
You will need to take out a mortgage to pay for your share of the home’s purchase price, or fund this through your savings. Shared Ownership properties are always leasehold, however upon final stair casing the freehold is transferred to you.
All our shared ownership properties are marketed by Snugg Homes.
Snugg Homes is the shared ownership specialist for members of the Jigsaw Homes Group. Our aim at Snugg Homes is to help people throughout the region to realise their dream of buying their own home, by providing new homes in areas such as Greater Manchester, Lancashire, Sefton in Merseyside and Cheshire.
You could buy a home through Shared Ownership in England if:
- Your household earns £80,000 a year or less
- You are a first-time buyer, you used to own a home or have now sold your property and can’t afford to buy one now without assistance
- You are an existing shared owner looking to move.
Only military personnel will be given priority over other groups through government funded shared ownership schemes. However, councils with their own shared ownership home-building programmes may have some priority groups, based on local housing needs.
Shared ownership is ideal for people wishing to down-size or if your circumstances have changed. If you are currently a home owner, you will need to have an agreed sale on your property and provide proof of sale before your application will be considered.
If you can afford to buy the property outright without government assistance, you will not be considered eligible.
You will need a minimum level of income/savings depending on the value of the home you want to buy. During the sales process, you will need to pay for:
- Reservation fee to hold the property
- Mortgage valuation and survey
- Financial advisor
- Legal fees and searches
- Deposit for your mortgage
- Moving costs.
Every month you will need to make the following payments:
- Your mortgage repayment to your lender
- Your rent to Jigsaw Homes Group
- A service charge and management fee for services you receive.
Our experienced sales coordinators at Snugg Homes will be able to help you find the home that best suits your needs and make the entire buying process as smooth as possible. As soon as you contact one of our sales coordinators, they will be available throughout your purchasing journey to the moment we hand over the keys to your new home.
Snugg Homes
web: www.snugghomes.co.uk
email: sales@snugghomes.co.uk
tel: 01942 267 819
