Last updated - 17 October 2019
What is it?
Shared ownership is the process of buying more shares in your property, enabling you to own more of your home. The scheme helps many first time buyers get a foot on the housing ladder. It also helps existing homeowners upsize to a new property as their family grows. You can do this as a leaseholder of a Shared Ownership property bought either new, as a resale or via Social HomeBuy.
Shares in the property range from 25% to 75% of the value of a property and you can take out a mortgage for the share you buy. You will then pay a subsidised rent on the share you don’t buy, along with a service charge for estate management. This is a standard payment on all leasehold properties. With a previously owned property (or resale) you would buy the share the current owner has purchased and can start to own more later. If you staircase to 100%, you become and outright owner and pay no rent!
Before you staircase, buy or sell
If you live in a building of more than 18 metres (around six storeys) which has an external cladding system and/or balconies on the exterior and are thinking of selling your home, remortgaging or buying more shares, please contact us straight away.
Following the tragic events at Grenfell Tower in 2017, there have been changes to Government guidance around fire safety in residential buildings. The safety of our residents is of paramount importance to us and we are supportive of these new guidelines, but this has meant some changes to the checks we need to carry out on our buildings.
As a result of this, mortgage lenders are seeking more detailed information about the construction of the building than was previously required, particularly relating to the external facades of buildings that are 18 meters and over (around six storeys). They now require confirmation from a suitably qualified independent professional advisor that buildings of 18 metres and upwards meet updated requirements before they will issue a mortgage.
Because this is a new requirement, this information may not be immediately available for us to provide. In order to do so it is likely to we will need to carry out professional inspections and surveys. While we are committed to providing all information currently available, please be aware that this may not at this stage be enough to satisfy lenders’ queries. The lack of this information being available is a national issue and not one just affecting buildings owned by Notting Hill Genesis.
If you live in a property more than 18 metres (around six storeys) tall with an external cladding system and/or balconies on its exterior and are thinking of:
- Selling your home
- Buying more shares in your home (staircasing) or;
We strongly urge you to contact us before committing to any course of action.
Am I eligible?
This will vary depending on which home you are looking at, the size and whether there any criteria are imposed by the local authority. For example, some boroughs in London ask that you have been in the area for at least a period of 12 months.
There are some criteria that you must meet for every scheme:
- In London, your total household income needs to be under £90,000 per annum. A lower household income of £80,000 is needed for developments outside of London. This is for any size property.
- You are unable to buy a home that meets your housing needs on the open market.
- You do not already own a home or you will have sold your current home before you purchase or rent.
- Priority will go to Armed Forces personnel.
It is available on a variety of homes including new build and previously owned properties.
Is staircasing for me?
Is staircasing for me?
This is perfect for anyone looking to own more of their home. There are many benefits to staircasing including:
- Lower rent - you will reduce the amount of rent you pay on your home each month.
- More profit - if you decide to sell your home, the more you own, the more profit you make.
- More control - if you staircase to 100% you can sell your home on the open market using an Estate Agent.
- More buyers - if you staircase to 100% you can sell to anyone in the market interested in buying your home.
- Higher return on investment - becoming the outright owner also allows you to maximise the profit from major home improvements when selling your property.
If you’re thinking of buying more shares in your home, you can find everything you need here.
Available homes to buy through Shared Ownership
Genesis has a range of homes available in London and the South East available to buy via Shared Ownership.
Visit our Shared Ownership page to view all homes we have available or contact our Sales Team on 020 3797 4261 to find out more.