You may have heard the term Shared Ownership or New Build Homebuy and wondered where exactly you fit in on this and whether it could benefit you in any way. As a prospective first time buyer I am often left anxious, wondering whether I am ever going to get onto the mystical property ladder without a lottery win or meeting a wealthy man – not that I play the lottery or hang around Polo clubs. I have been writing about shared ownership schemes for about 6 months now and have often pondered the merits and whether this scheme could be what I am looking for.   Then, out of the local free magazine came an advert. ‘You can afford to buy with New Build Homebuy’, said the advert and by the looks of things you really can.   The advert for shared ownership housing appeared in the Brighton free magazine Latest Homes and says that I can buy a 1 bed place for as little as £50,000 or should I say a 25% share in one.   Beside the advert for the shared ownership home was a picture of the interior of the flat in question.   All brand new furnishings and kitchen appliances, not the council run-down property I had imagined at all.   And the location?  Locations that I would want.   Brighton and Hove desirable locations, not out in the middle of nowhere or somewhere with more Asbos per head than Ford prison.   Holland Road in Hove and another on The Drive all perfect locations for first time buyers and people with families looking to get onto the property ladder and wondering how to do it. By now I am really considering my options and whether shared ownership is the way for me to finally get onto the property ladder.   Shared ownership was never something that I thought I would want to consider, because it would mean getting either a flat that I wouldn’t like or somewhere in a location that I didn’t like, but it seems that I can have it all and I can afford it!The idea is that you find the perfect property through your local housing authority and then you find a shared ownership mortgage yourself – just as you would with a standard mortgage.   It really is that simple and who know I might finally make it onto the property ladder before I am 50!

What is a shared ownership mortgage? If you are still in the process of saving up to buy a home, why not take advantage of a shared ownership mortgage? With a shared ownership mortgage, you do not need to have the entire amount of money needed to purchase a particular property that you are eyeing. With a shared ownership mortgage, it will be like owning a share of a stock, only you get full rights to use it. Thus, if you have a home that is under a shared ownership mortgage, you just need to buy a certain percentage of the share for the property. The remaining portion of the share will be owned by a housing association from where you have purchased the property, and this part will also correspond to the monthly rent that you need to pay. So, it is like partly owning and partly renting a property, but the good thing is that you get full occupancy rights. Can I eventually own the property that is under a shared ownership mortgage? Yes, you can definitely own any property that is under a shared ownership mortgage. This is actually the advantage of a shared ownership mortgage. There is a 99-year window in which you can purchase the property, which means that you literally have a lifetime to buy the shares for the rest of the property that you do not yet own. Are there any disadvantages to a shared ownership mortgage? Because of the numerous benefits working to a borrower’s advantage, the one downside to a shared ownership mortgage is that this type of home ownership scheme is quite difficult to come by. The demand for this type of mortgage is high and not all areas are offering shared ownership mortgages. How can you shop for the best shared ownership mortgage plan? Housing associations, housing trusts, cooperatives and other similar associations are the ones who are offering shared ownership mortgages. Because of the great amount of leeway given to those who are benefiting from a shared ownership mortgage, investors and lenders do not easily or commonly give out this type of loan. However, you just need to be resourceful enough to be able to shop for the best shared ownership mortgage. Here are a few resources: The Housing Corporation: This governmental agency is responsible for funding new and affordawble homes in UK. They also regulate the housing associations in the country. If you want to obtain a list of the housing associations from which you can get a shared ownership mortgage, this is the agency that you need to go to. Just specify the area where you wish to buy a property and they can give you a name of the housing associations in that area, as well as the names of the developers of such home ownership schemes. However, you may need to wait for some time because priority is given to existing tenants or those who are on the waiting list. Browse through online resources: Just like everything else, you can Google your way through shopping for the best shared ownership mortgage options. The Mortgage Warehouse is an example of an online site from where you can get a list of the establishments offering shared ownership mortgage plans. Abbey Mortgage is the second largest mortgage provider and one of the biggest banks in the UK. They offer a wide array of mortgages to suit your individual needs. The Beverly Building Society is the country’s oldest and most established financial institutions. Mortgages and investments are their major dealings, so you can definitely look for the shared ownership mortgage plan that will best suit your financial situation from such a reputable and established financial establishment. Another establishment offering shared ownership mortgage plans is Alliance and Leicester which is a major player among the country’s biggest financial services groups. Their clients range from individuals to major companies and businesses through the wide range of financial services that they offer. Halifax is another UK lender which offers shared ownership mortgage plans to those who would like to have their own home.