- Shared Ownership FAQs
- Shared Ownership Pros and Cons
- Shared Ownership Purchase Process
- Cost of buying a Shared Ownership home
- Shared Ownership homes near me
- Shared Ownership New Build homes Vs Resale homes
- Shared Ownership Mortgage Lenders
- What are your options after buying through Shared Ownership?
- Shared Ownership vs renting
- Shared Ownership Myth Busting
- Eligibility Check
Shared Ownership Eligibility
Are you looking to buy a Shared Ownership home but not sure if you are eligible? Read our complete guide to Shared Ownership eligibility to find out all you need to know.
What is the eligibility criteria for Shared Ownership?
Shared Ownership has been designed to help those that need it most. Eligibility will vary depending on which development you are looking to buy in. However, there are some general criteria that you must meet for every development;
✔ You must be aged 18 or older.
✔ Your annual household income if buying in London must be less than £90,000 (£80,000 outside of London).
✔ You will normally be a first-time buyer or be in the process of selling your home. You must not own any other property at the time you buy your new home.
✔ You should not be able to afford to buy a home on the open market.
✔ You must be able to show you are not in rent or mortgage arrears and demonstrate a good credit history.
*Eligibility may vary depending on property size and whether there are any criteria imposed by the local authority.
Does Shared Ownership eligibility vary by development?
All applicants who are interested in Shared Ownership will need to meet the basic eligibility criteria to purchase a home. There are times when some additional eligibility criteria will apply depending on the development you are looking to buy.
For example, some developments will only be available to buy by someone who either lives or works in the same London borough as the development. This usually applies for a certain period from when the development first launches (i.e. first 3 months) before being open to applicants living anywhere.
It is also possible that further income restrictions apply beyond the basic eligibility criteria meaning that the maximum household income could be less than £90,000 in some instances.
We therefore recommend that you check the eligibility criteria for each individual development when searching for new homes.
How does Shared Ownership priority work?
Shared Ownership is available to anyone that meets the eligibility criteria for an available property.
As some of our developments can be very popular and at times, receive more reservations than we have homes available, we use a scoring system to prioritise certain people to ensure that our homes go to those most in need.
On some occasions there may be additional priorities set by the Local Authority which will then override our standard Allocation Policy.
For more information about how we prioritise Shared Ownership homes or Shared Ownership eligibility criteria, speak to our team.
To make sure properties go to those most in need, priority will be given in the following order.
✔ Existing social tenants - because council and housing association tenants buying their own home will release a home to someone else who needs social housing
✔ Military personnel
✔ Applicants registered on the local authority’s housing waiting list or who are in a local priority group
✔ First-time buyers
✔ Buyers with a home to sell
After the initial priority groups have been considered, applications will then be prioritised based on:
✔ People who live and work within the same borough of the home they wish to buy
✔ People on the lowest income, but still able to afford the property
✔People with a larger household size i.e. families
What if I'm not eligible for Shared Ownership?
There are some strict eligibility criteria you have to meet to buy a home with Shared Ownership.
This is also true for London Living Rent homes that also require applicants to be eligible to buy on a Shared Ownership basis.
However, if your household income is above £90,000 or you have a larger deposit, you may be able to buy a home on the open market. This means simply putting an offer on a new home and obtaining a mortgage offer as long as the home is affordable to you.
Discover homes available on the open market, like Higgs Yard in Loughborough Junction by Peabody New Homes.
Search Private Sale Homes
Search Shared Ownership homes
Discover a wider collection of new build Shared Ownership homes located throughout London and the Home Counties.
Shared Ownership Eligibility FAQs
Is there a maximum income threshold for Shared Ownership?
For buying a Shared Ownership home in England, the maximum household income you are allowed is £80,000. However due to higher property values in the capital, the maximum household income for those looking to buy in London increases to £90,000.
Household income in the income of any member of the household included in the purchase of the property. This means if you are buying the Shared Ownership home with your partner or a friend, then the income for each of you needs to be below the eligibility threshold.
If you are purchasing a Shared Ownership home with your partner but also have a child who is currently employed, then as long as their name is not included in the purchase of the property, their income would not be included.
Is there a minimum income requirement for Shared Ownership?
There is no minimum household income required to buy a Shared Ownership home based on eligibility. However, due to the cost of buying a home and the need to have a mortgage as part of buying through Shared Ownership, you will need to meet affordability requirements.
This means in order to buy a home you will often need to have a minimum household income in order to be deemed affordable to buy and able to obtain a mortgage.
The minimum income required will be based on your personal finances, and for example if you have a large deposit, you may be able to buy with a lower household income than say someone with a lower deposit.
I already own a home, would I be eligible for Shared Ownership?
Shared Ownership is predominantly aimed to help first-time buyers step onto the property ladder. Therefore if you already own a property in the UK or abroad, you will not be eligible to purchase a Shared Ownership home.
However, if you do own another property, you may be able to purchase with Shared Ownership if you are able to prove that you are in the process of selling the home.
Existing homeowners must have sold the property, or had their name removed from the mortgage, before they can exchange contracts on a home bought through Shared Ownership.
Can I make a joint application?
In short yes.
You can apply jointly for Shared Ownership with a partner or a friend depending on your personal circumstances. You will just need to ensure you both meet the basic eligibility criteria and together your household income is less than £80,000 (or £90,000 if buying in London)
See what our homeowners say
Buying a first home, getting married and preparing for the arrival of a baby are all busy life events. Raph and Jaye would know, after experiencing all these milestones simultaneously. They purchased a 25% share of a two-bedroom apartment at The Switch in Wimbledon, with a £42,600 deposit.
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Luca moved to London from Italy to work at a university. After a few years renting in London, Luca was able to purchase a 50% share of a bright two-bedroom, two-bathroom home through Shared Ownership at Arden, in Lewisham.
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Shared Ownership
Shared Ownership allows buyers to own a share in a new property and is designed to make homeownership more accessible for those who have smaller deposits and may not have the budget to buy a new home outright.
Shared Ownership Pros and Cons
Are you considering Shared Ownership but not sure if it's right for you? See all the pros and cons to buying a home through Shared Ownership.
Shared Ownership Purchase Process
To make the process of buying your Shared Ownership home easier, we have broken it down to 10 simple steps; from registering your interest to collecting the keys to your new home!