What is shared ownership?
The shared ownership scheme, often called part buy/part rent, enables you to buy a home in stages, typically buying a share of a property (typically ranging between 40% and 75%) and paying a low cost rent on the remaining share.
- You will own a share in your home, rather than paying rent with no return
- You only buy what you can afford so you don’t overstretch yourself financially
- You can buy more shares or sell the property
- The combined monthly mortgage and rental outgoings should be less than the cost of buying or renting privately the same type of property on the open market
Buying a share means you need a smaller mortgage and deposit than buying a property outright. This makes it a cost effective way to own your own home and ideal for first time buyers. Shared Ownership usually works out less per month than renting privately and you can enjoy the benefits of being a home owner rather than a tenant.
By buying a shared ownership property you become a leaseholder, not a part tenant, and Yarlington is the Freeholder until such time as you are able to buy the property outright (exceptions may apply). You will be granted a 125-year lease, which sets out certain terms and conditions such as:
- How often your rent and service charge increases
- How much it will increase by
- What you should expect from us
- Your rights and responsibilities as a Leaseholder
As a Leaseholder, you will have the same rights and responsibilities as a full owner-occupier. However if you decide to buy the remaining share of your house, you will own your home outright and become a Freeholder.
If you own an apartment, you will remain a Leaseholder like any other apartment owner. This is because your home is in a block of apartments and your lease sets out responsibilities for use and maintenance to all shared areas.
Download our application form to apply for your new shared ownership home