Shared ownership means that you will own a share of the property however you will still have to pay rent for the remaining share of the property; you can purchase further shares into the property at a later date. This is a government scheme which helps people such as first-time buyers, to get onto the property ladder. Choosing shared ownership Greenwich means you can begin by owning a percentage of the property but you will have the option to purchase further shares in the property at a later date, so you can own the property if you want to later in the future. You can purchase of 10% per transaction; the problem is that you’re limited to three transactions; this means that within those three transactions you will need to gain complete ownership. Each share you purchase will be purchased at the current market value. Each share that your purchase means that the amount of rent you have to pay will decrease according to the new percentage you own. Once you reach complete ownership of the property you will no longer pay any rent on the property, although with some housing associations you may still be liable for service charges and ground rent if it’s applicable.
It may work out that paying for rent and mortgage is actually cheaper for you rather than the option of purchasing a property straight away. You may want to spend some time working out all of the different costs which will be included; an independent mortgage advisor can help you with this as they have plenty of experience. You will have to pay a deposit for your mortgage and then some other costs which may be included will include legal fees and mortgage arrangement fees. To be eligible for shared ownership Greenwich, you need to be at least 18 years of age, you need to be a first time buyer, have previously purchased a property but can no longer afford to or already be a shared owner; however there are some other circumstances depending on your situation where you will still be eligible for shared ownership Greenwich.
Another thing is that you mustn’t be able to purchase a home which is suitable for your needs on the open market and you must have a household income which is less than £60,000. With most housing associations the process will begin with you registering your interest with them; this means that you will be added to their mailing list. Then once you find a home with them which you’re interested in and meets your needs then you will be able to view the property. The final step of this process is the purchase process; this means that if you manage to successfully be allocated with a home to purchase, most housing associations will tell you to appoint a solicitor to arrange a mortgage. If you’re successfully allocated a home to rent, then they will inform you of your anticipated tenancy start date.