After you move in
Our service doesn’t stop when you move in to your new
home. You will have the details of a specific team to contact if
you have any problems or queries.
You must ask for our permission before you proceed with any
major improvements to the property.
General maintenance/repair and redecoration do not require our
permission. Remember to keep all receipts for work completed as you
may need to produce these when you sell the property or purchase
At some stage, you may be able to secure a better repayment plan
for your outstanding loan by changing mortgage lenders.
However, you may not borrow more than the original cost of the
property and you will not be able to consolidate loans into the
Under shared ownership, you will be paying monthly mortgage
repayments to your lender and monthly rent and service charges to
us. It is important not to get into arrears on either payment as
this may result in the repossession of your home.
Unfortunately, people can get into
difficulties in paying the mortgage or rent and service charges. If
you have problems with either repayment, you should contact the
mortgage lender and us as soon as possible.
See our Money Matters pages for practical help
and advice on financial issues.
Further advances or loans
These are not normally agreed unless
they are to be used to acquire further shares of the property or to
carry out essential repairs or maintenance.
If you'd like a further advance,
please contact us for approval. You will
be required to pay for a valuation to ensure that there is
sufficient equity in the property.
Staircasing (increasing your share of
You usually have the right to increase
the share you own in your property and you may increase your share
in minimum tranches of 10% until you own the property outright.
You will have to pay for the valuation
of your home and it will be valued with and without any
improvements undertaken. Provided that we have agreed these
improvements, you can purchase the additional share at the price
excluding the value of the improvements. You do not receive the
actual cost of the improvements; only the value that they have
added to the property.
more about buying more shares...
Selling your property
The lease agreement generally states that we have a period of
time in which to find a suitable buyer for your share of the
property. You will be required to pay for an open market valuation
of the property and, possibly, our selling fee. If we are unable to
find a buyer, then you may place the property with an estate agent
and you will be responsible for their fees.
You will need the services of a number of professional advisers.
In this section we explain their roles.
Most people use a solicitor or licensed conveyancer to conduct
the detailed work required to transfer ownership of a property.
They must be properly insured, which in theory means that you
should have some comeback if things go wrong.
They will charge you for their work
and any costs incurred on your behalf (called disbursements). It is
always recommended that you choose a professional who has
significant experience in shared ownership as this should save
considerable amounts of time and expense. Ask for our list of panel
solicitors who will do the work on a fixed fee (plus disbursements)
You should stay in regular contact
with your solicitor to ensure that you are fully informed of the
progress of your purchase and that you can meet the purchase
The mortgage lender
If you are purchasing your home with a mortgage, then you will
have to arrange this.
Under the Financial Services Act,
we're not able to offer financial advice or arrange mortgages.
You have a number of options available
to you. You can go direct to a lender or you could contact an
Independent Financial Adviser (IFA) experienced in arranging shared
ownership mortgages. Their service is often free and they deal with
many lenders and are not tied to any building society or bank. They
can also advise you on other financial products.
Nowadays, you will need a deposit to
get a mortgage. It is important that you check that your lender has
direct experience of shared ownership, as not all lenders will lend
on this basis. We only accept mortgages from high street lenders
such as banks or building societies and may challenge unusual terms
such as high interest rates, type or length of mortgage. We will
not accept ‘interest only’ mortgages. If you are uncertain about
deposit requirements, the lender or mortgage, please contact us
before making any commitments.
When you have chosen your property,
your mortgage lender will instruct a surveyor to inspect and value
it. You will be asked to pay for this when you apply for the
The mortgage offer
Approximately two weeks after the inspection of the property,
you should receive your mortgage offer, a copy of which must be
sent to us for approval.
You will not be allowed to have a
mortgage greater than the value of the share of the property that
you are purchasing.