Guildford Home Choice

Shared Ownership Properties

Many people even in comparatively well-paid employment find that they can’t afford to buy a home in Guildford. Although there are different ways of getting a first step on the property ladder the most usual is Shared Ownership.

The shared ownership scheme enables you to buy part of a property, with a housing association or the local authority owning the remaining share. Rent is paid for the share that you don’t own.

Most years the Council have approaching 100 shared ownership properties available for purchase, from 1-bedroom flats to 3- bedroom houses. The minimum amount you can purchase varies between properties but it is usually between 30% and 50%. Our shared ownership property guide gives the location of shared ownership properties in the borough click Shared Ownership Properties to download.
 
The initial costs are broadly the same as if you were purchasing on the open market. You will therefore need to employ a solicitor, commission a survey, pay stamp duty, and pay mortgage fees. It is also advisable to have enough savings for a mortgage deposit of 5% of the amount that you will be borrowing. It is suggested that you will need a minimum of £3000 - £5000 to meet these costs.

Most people will need to borrow money in the form of a mortgage to fund their part-purchase of a property. Mortgage lenders will be able to give you advice on the different types of mortgages that are available and the interest rates that will be fixed to the repayments. Click to read more about Mortgages.

HOMEBUY

On 1st April 2006 the Government launched two new programmes whereby all Low Cost Home Ownership schemes will now be called HomeBuy.  In order to be considered for schemes on offer all applicants are now also required to register with Thames Valley Housing, the official Homebuy Agents for Surrey.  Some developments of shared ownership properties are still available only to eligible keyworkers.

The two new Low Cost Home Ownership schemes on offer are:

• New Build Homebuy, which is a part buy/part rent scheme that replaces traditional Shared Ownership. Please note that all Shared ownership resales funded through the housing corporation will also fall under the umbrella term, “New Build Homebuy”

• Open Market Homebuy is an equity loan scheme designed to help people buy their own home on the open market. If the property you select is approved by Thames Valley Housing, you pay a percentage of the purchase price with a mortgage, plus any contributing funds of your own, and Thames Valley provides a loan of up to £40,000 for the balance. Local market conditions, meeting affordability criteria and available funding at any one time determine the purchase price of the property you can buy.

In order to be eligible for these schemes, you must complete an application form, available online at www.homebuy.co.uk and submit it electronically. Alternatively you may phone the Thames Valley Housing Homebuy Helpline 0845 600 6699 and request a form to be sent. All applicants may be subject to confirmation of employment status and eligibility criteria.

You will also need to remain on Guildford Borough Council’s register and will need to return your annual declaration. Thames Valley Housing Association will also require you to reregister your application for Homebuy at six-month intervals.
Applicants who choose not to register with the Homebuy agent will only be considered for schemes that have been funded through Guildford Borough Councils own initiatives. All Low Cost Home Ownership properties will still be advertised through guildfordhomechoice and the information given for each property will include details of whether applicants need to be registered with the Homebuy agent in order to be eligible.

Homebuy enables you to be considered for properties becoming available across Surrey but if you are interested in being considered for properties outside the Guildford Borough you may also have to register with the local authority responsible for the area in which you want to live.

If you require more information or have an enquiry regarding any of the schemes please call Thames Valley Housing Homebuy Helpline 0845 600 6699, or Mark Ryan (01483 444519) at Guildford Borough Council.