Shared ownership
At Fairplace Homes we’re proud to offer Shared Ownership as an affordable route to home ownership. Shared Ownership enables homebuyers to buy a share of a property and pay a discounted rent on the remaining share. By purchasing a share in a property, homeowners require a smaller deposit and mortgage, presenting a more affordable route into homeownership than purchasing a home outright. Our shared ownership properties are carefully selected to ensure they are in desirable locations and of high quality, making it an appealing option for those looking to get onto the property ladder.
How does it work?
A shared owner can acquire an initial share between 10% and 75% of the home, with Fairplace owning the remaining share. You will pay a deposit and secure a mortgage on the portion you acquire and pay a subsidised rent on the share that Fairplace retains.
Shared Ownership offers an excellent opportunity to step onto the property ladder with a minimised deposit and usually lower monthly payments compared to traditional home buying.
If you’d like to know more, download our brochure for further details to check eligibility and find out how Shared Ownership could work for you.
Example home
Total price £200,000
Monthly payments¹
Mortgage £238
Rent £343
Total monthly cost £600
1. Minimum income £22,900
FAQs
Why should i buy a shared ownership home?
Shared Ownership offers several benefits, allowing you to climb the property ladder faster than traditional buying. You can purchase additional shares over time, potentially reducing your mortgage. Plus, it often proves more cost-effective than renting, though not always.
What is ‘staircasing?’
You can buy more shares in your home after you become the owner. This is known as ‘staircasing’. When you buy more shares, you’ll pay less rent. The amount of rent you pay will be based on the landlord’s share.
You can usually buy shares of 10% or more at any time. Some older leases only allow you to buy shares of 25% or more. Some newer leases will allow you to buy shares of 5% or more.
If you bought your home on or after 1 April 2021, you may also be able to buy shares of 1% each year for the first 15 years. Ask your landlord if this applies to you. You cannot buy shares of 2%, 3% or 4%.
Before you buy a shared ownership home, ask the landlord for the ‘key information document’ to check what share amounts you’ll be able to buy in the future.
I’m a low earner, am I eligible for Shared Ownership?
You’re individual circumstances and affordability will be worked through by an independent financial adviser to assess whether shared ownership is for you
Do I need to take out a mortgage?
Unless you are acquiring your share with 100% cash, you will need to take out a mortgage
How do I register my interest in Shared Ownership?
Please reach out to one of our appointed sales representatives on schemes on offer
What if I want to sell my Shared Ownership home?
Please reach out to us to discuss selling your home
Want to know more?
If you’d like to know more, download our brochure for further details to check eligibility and find out how Shared Ownership could work for you.
