Imagine the home you want costs £200,000 but you can only somehow borrow a mortgage of £100,000 because of your income and the sizes of your deposit.
Shared ownership is a part buy and part rent government backed scheme which usually allows first time buyers to buy 35% to 75% share of new homes and pay rent of the remainder. If you’ve found the perfect home but you can’t afford to take out a mortgage for the full asking price, you will still need to have saved a small deposit which is usually around 5%.
Shared ownership is a part buy and part rent government backed scheme which usually allows first time buyers to buy 35% to 75% share of new homes and pay rent of the remainder. If you’ve found the perfect home but you can’t afford to take out a mortgage for the full asking price, you will still need to have saved a small deposit which is usually around 5%.
Who can apply:
This scheme supports buyers who would struggle to buy a home or even
have a hard time even renting a home on the open market.
To apply you
need to be the first time buyer in the permanent employment, live or work
locally, have family connections to the area you want to buy in, and also have
a total household income of up to £80.000.
Costs involved:
With a 5% deposit you’ll need to pay for
reservations and mortgage or survey, legal fees and stamp duty you will also
need to factor in the coast of moving homes, example hiring and removal firm.
Ensure that your budget is enough to purchase the property, as surveyors and legal fees may be
higher than normal, either have the cash ready to buy the property outright or
find a specialist lender that is happy the lend on the property before you make an offers.
Advice:
Secure a specialist legal company to carry out the buy, usually
someone local to the area that has experience of any additional properties
needs and renovation.
Also make sure
you secure the help of builders with experience in renovating properties via a contract. While market rates increased across the country,
rents increase for tenants who renewed their leases.
At Discount Insurance we
provide high quality Landlord
Insurance to suit your needs at a price that will suit your budget! Give
us at 0800 294 4522 for a quick
quote today!