Shared ownership - Hyde New Homes
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What is shared ownership?

Shared ownership is designed to help people step onto the property ladder. It is aimed primarily at those who do not currently own a suitable home and cannot afford to buy one at full market value.

This government-backed scheme allows you to buy a percentage share of your home while paying reduced rent on the remaining portion. Since you only need a mortgage for the share you are purchasing, the deposit required is usually considerably lower, and the mortgage payments are more affordable. As a shared owner, you will be an owner-occupier and hold a lease.

You’ll have the option to increase your ownership share whenever it suits you, potentially owning your home outright. You also have the flexibility to sell your home and move on at any time.

One of the key benefits of shared ownership is that the combined cost of your mortgage and the subsidized rent on the portion you do not own is, in many cases, more affordable than renting privately or buying outright.

Shared ownership homes are sold on a leasehold basis, which includes associated costs such as service charges, rent, and repairs. These costs are common for homes within developments or apartment blocks. It is important to understand how these charges are calculated and note that they may vary from year to year.

How is shared ownership changing?

In 2021, the government introduced the Affordable Homes Programme (AHP) to make homeownership more accessible. This included updates to the shared ownership model to help even more people step onto the property ladder.

For a limited time, both the old and new models will be available. Our homes will be marketed under one of these models, depending on the development or property. If you need further assistance regarding the specific shared ownership model of a home, our sales team will be happy to help.

Who can apply for shared ownership?

Shared ownership is designed to help those who are unable to buy a home on the open market. To be eligible, applicants must meet the following criteria:

  • You must be at least 18 years of age.
  • Your annual household income must be less than £80,000, or less than £90,000 if buying in London.
  • You must be a first-time buyer or in the process of selling your home
  • You must not own any other property at the time you buy your home.
  • You must not be able to afford a home suitable for your needs on the open market.

Additionally, you will need between 5-10% of the equity share you are buying as a deposit and access to funds for the costs associated with purchasing your home. You’ll also need to demonstrate that you can comfortably afford the mortgage payments, rent, service charges, and bills.

Full eligibility criteria

Can I buy more shares of my home?

Staircasing is the process of increasing your ownership share of the home you have purchased. You can buy additional shares at any time that is financially convenient for you, allowing you to eventually own your home outright. The price for the additional share is based on the market value of the property at the time of purchase. The percentage of shares you can buy depends on the funding model under which your home was originally purchased.

As a rule of thumb, the more shares you own, the less rent you will pay to Hyde on the remaining portion. While there is no obligation to staircase, it’s an excellent way to work toward full homeownership.

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Can I sell my shared ownership home?

If you need to move or feel that you’ve outgrown your current home, you can sell it at any time, regardless of the percentage of shares you own.

To ensure your home is offered to potential buyers who qualify for shared ownership, we have the right to find a buyer on your behalf for a specified period, as outlined in your lease. We charge a fee for this service, which typically is lower than the cost of an estate agent. If we do not find a buyer within this timeframe, you are free to make your own arrangements.

You can choose to sell your home through back-to-back staircasing and then on the open market, or sell your share to someone approved by us who meets the Homes England & GLA criteria for shared ownership.

If you own 100% of your property, you can list it on the open market through an estate agent.

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New builds or pre-owned homes?

Hyde New Homes offer a range of homes, including brand-new homes and pre-owned ones, known as resales. Both offer unique benefits, so consider what fits best with your needs and preferences.

 

New builds

A new build property provides a fresh, blank canvas for you to decorate and personalise. These homes typically come with lower maintenance requirements and the latest features and finishes. However, new builds may be priced higher compared to resales.

Discover New Build Homes

 

Resales

Resale properties are pre-owned homes offered by current shared owners looking to sell. These homes are listed on our website, where you can use the ‘Find a Home’ tool and filter options to view available properties. While resale homes tend to be lower in price than new builds, they are often only a few years old, still feature contemporary designs, and are available across a broader geographical area.

Discover Resales Homes

Take the First Step Towards Homeownership

Hyde New Homes provides award-winning, high-quality, and affordable shared ownership homes. Click the “Register” button below to complete your shared ownership application and gain access to “My Hyde,” your personal space to save favorite developments, manage search criteria, and oversee your booked viewings.

Register Now