Original shared
ownership programme

In 2021 the Government announced some big changes to shared ownership. The changes are not retrospective. Here you’ll find information for shared ownership homes built as part of the classic shared ownership programme.

If you’ve bought a shared ownership home, you’ll be able to find out which programme your home comes under by visiting MyGUHG.

Who’s eligible?

Shared ownership is for people who cannot afford to buy a home outright. Buyers need a 5-10% deposit for the share they are buying. Purchases are dependent on being able to afford the rent and mortgage commitments, and your annual household income should be less than £80k.

What initial share can I buy?

You will be able to buy shares from 25% of the home’s full value.

The lease explained

All shared ownership homes are leasehold properties. The term remaining on a lease is an important consideration for mortgage lenders. The value of a leasehold property decreases with less than 80 years remaining, which means that shared owners have to pay for a lease extension when they want to sell their home. 

How much can I staircase by?

Once you own a shared ownership home you can buy more of it – this is called staircasing.  

If you buy a home on this programme, you can usually buy 10% at a time. The cost of the new share will depend on how much your home is worth when you want to buy the share. You’ll need to pay for a valuation by a surveyor who is registered with the Royal Institution of Chartered Surveyors (RICS). Shares must be bought within three months of the valuation date or the home will need to be revalued. 

Who’s responsible for repairs?

You will be responsible for all repairs and maintenance. In some cases, building warranty might cover certain repairs. 

For apartment blocks, repairs and maintenance to shared spaces, exterior and structure, that are not covered by warranty, are covered by the landlord. Home owners in that block will pay a service charge for this purpose. 

What do I need to know about selling a shared ownership property?

When selling shared ownership properties, Grand Union will look to find a buyer for your share of the home. This is called the nominations period and takes eight weeks.

If we don’t find a buyer during this time, then you can sell your share on the open market. The valuation still sets the price of the home being sold.

A house - classic shared ownership property