Shared Ownership – Summary and Myth Busters

HomesHub are Plus Dane’s affordable homeownership specialists offering a range of properties across Merseyside and Cheshire. We specialise in providing Shared Ownership homes and we also offer homes to rent for customers who may not be ready to buy just yet.  We believe in giving options and choices to customers who are struggling to find a quality home.

What is Shared Ownership?

Shared ownership is just another way to buy a home. It’s been around for a long time and here at HomesHub we have helped a lot of purchasers to buy a shared ownership home in the last 10 years.

With shared ownership you still get a quality new home but you buy it in a much more affordable way. You only buy the share in the property that you can afford and this will depend on your income. Purchasers on lower incomes can buy as little as a 25% share and it also means that you need a much lower deposit than buying 100%. You will pay rent to Plus Dane on the share of the property that you haven’t bought.

Most of the time your monthly payments will be less than what you’d pay in rent and the great thing about shared ownership is that you are on the property ladder. Better still, you can buy more of the property if you can afford it in the future. This is known as ‘staircasing’ and most of the time you can buy the full 100% of the property.

This is Ben and Sophie – they bought with Shared Ownership, and this is what they did:

Ben Short, 27, bought his first home three years ago using Shared Ownership, on Plus Dane’s Canal Place development in Chester. The development was in the perfect location for the couple, who lived in the area.

Ben says, “At the time we bought our original share Sophie was studying full time, so this affected the amount we could borrow. When she got a new job we started to think about putting more into equity and less into rent, so when our fixed-term ended we decided to staircase. So we’re now only paying our mortgage and a small service charge, which is great.”

Ben explains, “Without Shared Ownership we wouldn’t have been able to afford a home in this area, so it was a really good option for getting that first step on the ladder.”

So what’s the catch?

Myth #1: It’s too complicated
Ok, there are some eligibility and affordability criteria that you have to meet but it is pretty broad. The rest of the process is the same as if you were buying a home in any other way.

Myth #2 I don’t want to share with someone else
You don’t have to share your home with anyone else and you can live there alone if you want to. The Housing Association will own the unsold shares and you will pay rent to them but you will be treated as a homeowner.

Myth #3: You can’t decorate your home
You don’t need to ask about decorating, your home is yours to make your own like any other homeowner.

Myth #4: It’s hard to resell your home
The only difference with selling your Shared Ownership home is that your buyer will need to qualify for shared ownership.  Here at HomesHub we have a resale team who will support you through the resale process.

Myth #5: There aren’t any shared ownership homes in my area

All of HomesHub’s properties are advertised on our website and all shared ownership homes in the North West are advertised on the Help to Buy agent’s website You can also search on mainstream property portals such as Rightmove and Zoopla.