Simple Guide To Share Ownership Mortgage

Shared ownership schemes work by letting you take out a mortgage on part of the property, then pay rent on the rest. This mean potentially you’ll be able to buy a home with a smaller mortgage. It is like you buying a property together with someone who usually is a housing authority.

If you buy a home under a shared ownership arrangement, you will enter into an agreement with a landlord as well as the mortgage lender. It is important you fully understand the implications of this, including any restrictions they may impose on you such as: future costs of rent and maintenance etc, what you can do or cannot do to the property, and what happens if you are unable to maintain either your mortgage or rent payments.

Share-ownership is open to BNO Visa Holders, Permanent Resident and Visa Holders. Please note EC mortgage advisors can only give advice on the mortgage arrangement, you will need to contact the developer (for new built sites) or the estate agent (share-ownership resale) for full eligibility.


Share-Ownership Mortgage Example For Visa Holders

You Buying 50% Share Of a House Worth £200K which Cost you £100K
As a Visa Holder EC Mortgage Can Arrange A Maximum of 90% LTV Mortgage For You
If You Put Down 10% Deposit Of your Share which is £10K, You will need to get £90K Mortgage. You will pay rent to the landlord for the rest of the property.

EC Mortgage Will Assess if you can afford both mortgage and rent.

PLEASE NOTE THAT YOUR HOME MAY BE REPOSSESSED IF YOU FAILTO KEEP UP WITH YOUR MORTGAGE REPAYMENTS.