Which home buying option is right for me?
There are several home-buying options available to help you step onto the property ladder from Shared Ownership to London Living Rent. Discover which one is right for you below.
Looking to step onto the property ladder but need help?
Many people aspire to step onto the property ladder and own their own home. In high-value areas like London, this can seem a difficult aspiration to achieve.
However, there are several Government-backed affordable housing schemes designed to help people secure a home of their own.
Peabody New Homes have a range of new homes throughout London and the Home Counties, available with housing schemes like Shared Ownership aimed to help first-time buyers find a place to call home.
Discover a range of buying options available and see which one is right for you, or contact our team to find out more.
Is Shared Ownership right for me?
Shared Ownership is an affordable housing scheme designed to help people step onto the property ladder. It allows you to buy a share in your home (usually 25% initially) and pay rent to a housing association for the part you don't own. You can also 'staircase' and buy more shared until you eventually own 100% of the home.
As you are only buying part of the home, you will need a much smaller deposit than buying on the open market but still enjoy the benefits of being an owner-occupier.
Shared Ownership may be right for you if;
- You have a household income of less than £90,000
- You have a small deposit and can't afford to buy on the open market
- You want the security of home ownership and want to stop renting.
Is Shared Ownership resales right for me?
Shared Ownership resales are the same as Shared Ownership where you buy a share in a home and pay rent on the share you don't own to a housing association.
The only difference is that a resale is a home that a current owner bought through Shared Ownership and now wishes to sell. The principle is the same as buying a new-build through Shared Ownership but you must purchase at least the share that the seller currently owns i.e. if they staircased to 40%, then you must buy at least 40% too.
Shared Ownership Resales may be right for you if;
- You have a household income below £90,000 and meet the basic Shared Ownership eligibility criteria
- You want somewhere ready to move into now
- You are looking for a home with a bit more character and somewhere with an established community.
Is London Living Rent right for me?
London Living Rent enables Londoners to rent a home at a discounted rate compared to renting privately for an assured tenancy between 3 to 10 years.
As the rent is discounted, it allows you to save this towards eventually buying the home through Shared Ownership over the duration of your assured tenancy.
London Living Rent may be right for you if;
- You have a household income below £60,000
- You need more time to be able to save up towards a deposit to buy a home
- You are happy to continue renting and put savings towards buying a home through Shared Ownership.
Are Private Sale homes right for me?
Buying a private sale home means buying on the open market and usually getting a mortgage for the entire value of the home at the agreed sale price. You will usually need to put down a deposit to secure a mortgage and will be an outright owner of the property and pay no rent.
Private sale homes are usually for people who don't need the assistance of an affordable buying scheme like Shared Ownership.
Private Sale may be right for you if;
- You have a household income above £90,000
- You have sufficient savings towards a deposit to secure a mortgage
- You are looking to find a place to invest in and make your own in a great location with high specifications.
Search all homes by Peabody New Homes
We offer a range of buying schemes across London and the Home Counties. Search all homes and find your place to call home today.
Find out 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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After spending years renting in London, wealth manager Aroma Khan purchased a 30% share of a three bedroom apartment in Queensbury, northwest London. She had no idea that, just two years later, she would be staircasing her way up to 100% ownership with a friend.
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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 New Build homes Vs Resale homes
Shared Ownership is a home-buying scheme designed as a more affordable way to get onto the property ladder. Shared Ownership is available on new build and second-hand (resale) homes, but which is right for you?
Shared Ownership vs renting
Not sure whether renting privately or buying a home through Shared Ownership is right for you? Read our complete guide as we compare the benefits of buying with Shared Ownership and renting privately.
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.