Now Social and Affordable Housing Tenants can apply for the Right to Shared Ownership scheme, which is basically the Right to Buy your Housing Association property by the government backed Shared Ownership scheme.
Right to Shared Ownership allows residents to initially buy between 10% and 75% of their Housing Association property, with rent paid on their remaining equity amount.
As is the case currently the rental portion is reviewed each year and can go up by a maximum of the retail price index increase over the last 12 months plus 0.5% – so pretty stable compared to open market renting.
The gradual buying of more portions of equity – ‘staircasing’ – allows for eventual 100% ownership where required by the homeowner.
To apply, tenants must have been in social housing for at least three years, in the property they wish to enter into the scheme for a year, and said property must have been built – or for new builds eventually built under the Affordable Homes Programme between 2021 and 2026.
The government’s Department for Levelling up Housing and Communities says it wishes to open the scheme to more tenants in the future.
Minister for housing Lucy Frazer says: “All hard-working families and young people deserve the chance to live in a home of their own.
“We are helping tenants to do just that by supporting them with small, manageable steps onto the housing ladder, through the Right to Shared Ownership.
“Buying a home is one of the biggest financial decisions people take and this is just one of the ways we are helping more first-time buyers reach their goal.”
To make your enquiry use the chat link on this page. Mortgage Shop has been giving advice to the general public on Shared Ownerships since 1992, well before all our competitors.