What is the minimum income for Shared Ownership?
There will be a guide minimum income for each of our homes for sale but often you can still proceed if you are below this minimum income if you have a higher deposit.
In general, you will need approximately £5,000 to cover the costs of purchasing a home. These costs cover things like; the reservation fee, mortgage valuation fee, mortgage arrangement fees, solicitors’ fees, removal costs and utility connection charges.
Local authorities sometimes set minimum and maximum incomes for certain developments. Whichever home you choose you’ll need to earn enough to qualify for a mortgage and afford your monthly rent and service charges. So you’ll almost certainly need a salary or other form of regular income, for example, from established self-employment or pension payments. You need to have a good credit history with no outstanding mortgage or rental payments, and no defaults or County Court Judgments.
We recommend speaking to one of our mortgage advisors before you fall in love with one of our homes. They can help advise you on a suitable budget.
Who gets priority for Shared Ownership?
Priority is given to members of the military. However, shared ownership is open to anyone who meets the eligibility criteria.
All applicants are prioritised by a scoring system, where points are awarded for different criteria. These evaluations look at a variety of factors to assess your suitability, including whether you are:
- already living or working in the same borough as the property;
- an existing Local Authority or Housing Association tenant;
- going to be living in the property with children;
Shared Ownership Eligibility FAQs
Can I make a joint application?
Yes, two of you can apply jointly for Shared Ownership using our online form, as long as you have a good credit history with no outstanding mortgage or rental payments, and no defaults or County Court Judgments.
I get a bonus. Do you count that as income?
Depending on the mortgage lender’s criteria, if you receive a bonus, commission or overtime, we’ll include 50% of that figure in your annual household income. For example, if you earn £45,000 a year and £10,000 a year in commission, your total annual income will be recorded as £50,000.
Can I pay for my share in cash, with no mortgage?
In exceptional circumstances, it may be possible to purchase your share in cash if you are unable to obtain a mortgage. Adverse credit is not accepted as a reason for doing so. Our Sales Associates can provide more information upon request.
I receive benefits. Does that rule me out?
Not necessarily. It depends what sort of benefits, how long you’ll be receiving them and whether you’ll need to borrow money to pay for your share of the house. If you’re eligible for Shared Ownership and certain benefits, you may be able to get support with your rent payments.