Shared ownership is a Government-backed scheme designed to help more people buy a home sooner. Instead of needing a large deposit or a full mortgage, you buy a share of a shared ownership home and pay rent on the rest. It’s a practical, affordable route to owning your own home.
Most buyers purchase between 25% and 75% of the property. This reduces both your deposit and mortgage, making the first step more achievable.
You pay a subsidised rent to the housing provider on the portion you haven’t bought, which is usually far lower than similar homes on the open market.
Through shared ownership staircasing, you can buy more of your home in stages – right up to 100% in many cases. Staircasing gives you control over how quickly you become a full homeowner.
Once contracts are exchanged and the purchase completes, you’re the legal owner of your share and can enjoy all the perks that come with it.
It’s a straightforward process guided by affordability checks, clear eligibility criteria and specialist mortgage advice to keep everything smooth.
Your lender will arrange a valuation by an independent surveyor to confirm the home’s value. This is standard, to make sure your mortgage offer is based on an accurate market figure.
Meanwhile, you will need to appoint a solicitor or conveyancer to handle the legal aspects of the purchase. They will review contracts, conduct searches and ensure a smooth transfer of ownership. Once your solicitor has done everything they need to, they will send you a contract and full report to sign and return to them.
Buyer’s tip: At SOWN, we work with a panel of solicitors who specialise in shared ownership purchases. We can provide you with their details as part of the purchase process.
If your mortgage application is successful, your lender will issue a mortgage offer detailing the terms and conditions of the loan. Make sure you review this document carefully and address any queries or concerns with your solicitor or mortgage broker. If everything looks good, you can proceed to exchange contracts on the sale. At this stage, you will typically pay a deposit: usually 5-10% of the share value.
Congratulations! Completion is the final step, where the remaining balance of the purchase price is paid and legal ownership of the property is transferred to you. Your solicitor will handle the necessary paperwork. We will meet you at your new home on the day of completion to hand you the keys and show you around.
It's your home! Well done – it's time to enjoy your property with friends and family. But this isn't always the end of the story – with shared ownership, you can 'staircase' your share of ownership over time. If that's what you want, we're always here to help you.
If you’re thinking about selling your current home before moving into shared ownership, our valuation experts can help. We offer fair, accurate assessments based on local data and market insight.
