Shared Ownership is a term used in conveyancing when you purchase a share in a property from a Housing Association. The Housing Association retains ownership of part of the property and you pay rent to them on the share you don’t own.
Purchasing property in this way allows buyers who cannot afford to purchase property in the traditional way to get their foot on the property ladder and own their own home. Once a share in the property has been purchased, the buyer has the opportunity to purchase more shares as time goes by and they can afford to do so, to own the property outright.
Every transaction is different, and the timescale can depend on a number of factors, such as the time taken to obtain mortgage offers, conveyancing searches, dealing with solicitors enquires and the number of parties in the chain. For this reason, we work with our clients on a case-by-case basis, taking the pressure off them to complete the transaction quickly and effectively.
Shared ownership transactions follow the traditional route of requesting searches and raising enquiries, however mortgage lenders always have different requirements and special conditions to satisfy with shared ownership transactions in addition to the Housing Association requirements. There are additional legal requirements that need to be dealt with which differ from the traditional route of purchasing a property. At MSB, it is our responsibility to ensure we guide and advise you through these and that everything is dealt with in the appropriate manner.