Shared ownership experiences - good and bad

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Don't have any experience, just seems like a huge con and a way to keep the over inflated property market up. Just like help to buy is only really helping the housebuilders.

Remove all these props that keep house prices ridiculously out of sync with wages!
 
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We bought a lovely new build 3 bed house in a nice area and never would have been able to get on the ladder without shared ownership. We own 50% and a housing association owns the other half. The house was worth 315k and we needed a fairly big deposit. It's meant to be cheap, but our rent is 500 a month and mortgage is about 500 a month too, but the house is massive for just the two of us, we'd never need to move! Our salaries weren't good enough to get a full mortgage on a house so I'm glad we did it.
I begrudge paying the rent and hope to staircase in a few years time to own more of the house.
We haven't had the best experience with the housing association as they were slow to help us with a leak we had and other issues but I prefer to have as little to do with them as possible.
I think it's the only way most 1st time buyers are able to get onto the property ladder nowadays, especially single people (like my sister, who also bought shared ownership house). I don't understand why people think it's a con. We love our home 😊
 
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Really interested in this - it’s likely the way I’m going to have to end up going to get on the property ladder. My sister has a shared ownership at the moment and she seems happy with it but she doesn’t really say much about the ins and outs of it
 
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We’re unbelievably lucky as we had our ‘forever home’ bought for us
(we pay half market rent to my in laws-when they die it’s ours)
we looked into shared ownership so we could get more house for ‘our’ money but my in laws where against it
they seemed to think it was an expensive way of buying a house
like fil said ‘if you have a leak,no matter where it is-it will always be on ‘your’ side of the house
he refused a new build too on the basis of ‘it will fall it bits round you’
 
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I work in property and deal with SO daily.
Basically the only time I would ever recommend it is if you have a large family and need 3-4 bedrooms but can never save the deposit required for such a sized house. So therefore you could save a 10% deposit for that part of the mortgage. Overall you will pay more as you pay your mortgage (and its interest alone) plus your rent. Plus they are leasehold- don’t get me started. Plus selling them is a nightmare!

All in all I would either save more and have a bigger deposit or look for a cheaper place! It’s a con.
 
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Does any have any experience of Help To Buy and the good or bad experiences of that?
 
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Does any have any experience of Help To Buy and the good or bad experiences of that?
It’s a good thing in that it helps you get onto the property ladder. When you come to sell the issues happen. So you can’t accept an offer lower than the price for the house that they set so you couldn’t get a quick sell. Also they have time limits in which you needed to have sold by or you have to get a resurvey.
 
We did help to buy, we remortgaged after 5 years to include the 20% we didn’t own and the monthly payments worked out less than they were before. The interest is astronomical if you don’t pay it off though, I think we’ve been lucky with how it’s worked out for us
 
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I work in property and deal with SO daily.
Basically the only time I would ever recommend it is if you have a large family and need 3-4 bedrooms but can never save the deposit required for such a sized house. So therefore you could save a 10% deposit for that part of the mortgage. Overall you will pay more as you pay your mortgage (and its interest alone) plus your rent. Plus they are leasehold- don’t get me started. Plus selling them is a nightmare!

All in all I would either save more and have a bigger deposit or look for a cheaper place! It’s a con.
Why is it a nightmare to sell SO? What’s the process?
 
Following this just to see if anyone else shares their experiences. I don’t see any other way for myself & my partner to buy around where we live now. We’re in Kent & a 3 bed is roughly £250k or more. I am self employed & only working part time as if I worked full time, I wouldn’t make any profit after paying for childcare. At the moment I can’t see any way of buying a house without doing SO, but we’re paying £850 rent pm & would much rather be paying towards a house of our own.
 
Don't have experience of shared ownership unfortunately, but it was something we were looking at when buying.

We did find that the mortgage/rent came to a lot more than just a mortgage in our situation, so it's worth looking around. Obviously shared ownership houses were typically nicer/larger, but we are not looking to stay in our first home forever. We're in Kent :)
 
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Don't have experience of shared ownership unfortunately, but it was something we were looking at when buying.

We did find that the mortgage/rent came to a lot more than just a mortgage in our situation, so it's worth looking around. Obviously shared ownership houses were typically nicer/larger, but we are not looking to stay in our first home forever. We're in Kent :)
This is really the only thing I’ve heard so far that puts me off! Monthly, we could afford a “normal mortgage” - our struggle will be getting a big enough mortgage. Even with a fairly reasonable deposit I think we’d still struggle to get anyone to lend enough. Even 2 beds are around £220k 😩
 
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This is really the only thing I’ve heard so far that puts me off! Monthly, we could afford a “normal mortgage” - our struggle will be getting a big enough mortgage. Even with a fairly reasonable deposit I think we’d still struggle to get anyone to lend enough. Even 2 beds are around £220k 😩
Where are you and what sort of deposit do you have? If you don't mind me asking. I am not profesh in mortgage speak so can only speak from experience
 
Where are you and what sort of deposit do you have? If you don't mind me asking. I am not profesh in mortgage speak so can only speak from experience
No not at all! I really appreciate any help as neither of us have THAT much knowledge of buying/mortgages etc. We’re in Kent (looking to buy in the Medway area) & by the time we’re ready to move we’d probably have around £30k for a deposit. Hopefully more (partner should be due a pay rise soon, fingers crossed!), but that’s roughly what we’re thinking at the moment. Thank you in advance for any insight!
 
No not at all! I really appreciate any help as neither of us have THAT much knowledge of buying/mortgages etc. We’re in Kent (looking to buy in the Medway area) & by the time we’re ready to move we’d probably have around £30k for a deposit. Hopefully more (partner should be due a pay rise soon, fingers crossed!), but that’s roughly what we’re thinking at the moment. Thank you in advance for any insight!
That's funny, because I am in the Medway area!!

We bought a £192,500 2-bed house with a 40K deposit a couple of years ago. Our mortgage is £525 per month for 5 years and then goes up by about £150 (we will probably look to move around then as will have more equity)

So, I think you'll definitely be able to afford it. I found going to a mortgage advisor really helpful :) We went to Rosie at Your Move in Chatham
 
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That's funny, because I am in the Medway area!!

We bought a £192,500 2-bed house with a 40K deposit a couple of years ago. Our mortgage is £525 per month for 5 years and then goes up by about £150 (we will probably look to move around then as will have more equity)

So, I think you'll definitely be able to afford it. I found going to a mortgage advisor really helpful :) We went to Rosie at Your Move in Chatham
Ah that’s really good to know! I would be so happy with £525 a month, anything less than or the same as our rent would be fab. It’s frustrating because we pay £850 pm rent, so I’m sure that monthly we’d be able to afford a mortgage. Ideally we’d like a 3 bed but a 2 bed would be fine for now. My main worry is that I don’t earn a lot so we’re mainly relying on my partner & what he’d be able to borrow.

I definitely think we’ll try to see a mortgage advisor soon, it just feels very daunting, I don’t want to be laughed out the door 🤦🏼‍♀️😂 thank you so much for sharing your experience, I really appreciate it! X
 
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I did this with my first flat as there was no way I could have afforded a nice one in the area I lived in on 1 salary.
personally I didn’t rate it and found it a rip off (this was a private housing association rather than a government one) but I can see it being beneficial for houses as you’d probably stay in them more long term.
I moved out of my 1bed flat after 4 years and it was a bloody nightmare - they didn’t make it clear that they were meant to source the purchaser so my buyer then had to jump through hoops.
the rent I paid was pretty steep and the monthly service charges were crazy high - 60+ flats all paying £150+ service fees per month plus £200 a year ground rent......there were no residential gardens, shared areas etc.....it was just for communal utilities.....they were raking it in.
Wish there had been a housing development at the time offering the scheme. I think if you are somewhere you’ll live a lot longer term then it can pay off - buying more shares as your earnings increase etc.
 
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My best advice is go and speak to an independent mortgage broker who will sit down and hash out the figures for you and let you know what you can/can’t afford. You’d be surprised at what’s available and affordable to you on the market and brokers are best placed to get you where you need to be in the best way possible for your circumstances. Look for one with lots of reviews and shop around for costings. If you do decide to do SO then they can also help you with that.
Best of luck!
 
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