Everything you need to know about Shared Ownership
Shared Ownership is part of the UK Government’s Help to Buy scheme, aimed at helping more people get onto the property ladder.In this guide, we’ll walk you through shared ownership pros and cons, who qualifies, how to apply, and how OneDome can support you through the mortgage process.
Page contents
-
- What is Shared Ownership?
- Shared Ownership Pros and Cons
- Am I Eligible for Shared Ownership?
- How do I apply for a Shared Ownership scheme?
- What property can I get with Shared Ownership?
- Is Shared Ownership applicable to first-time buyers only?
- Purchasing more shares over time a.k.a. staircasing
- Can OneDome help with Shared Ownership?
What is Shared Ownership?
Shared Ownership allows you to buy a share of a property — usually between 25% and 75% — and pay subsidised rent on the remaining portion.
You take out a mortgage on the portion you own, which means your deposit and monthly payments are lower than if you were buying the full property.
Over time, you may be able to buy more of the property in a process called ‘staircasing’, eventually owning 100% of it.
Shared Ownership Pros and Cons
Pros:
- Lower upfront deposit (based on your share, not full value)
- More affordable monthly costs compared to buying outright
- Staircasing (buying more shares over time) lets you increase your share gradually
- Available to first-time buyers and eligible others
- Often applies to new-build homes with modern features
Cons:
- You still pay rent on the portion you don’t own
- All homes are leasehold, meaning service charges may apply
- Restrictions on decorating, subletting, and selling
- Extra costs when staircasing or selling your home
Read our handy guide: What mortgage can I get with my salary?
Am I Eligible for Shared Ownership?
To qualify for Shared Ownership, you’ll need to meet certain criteria:
- Be 18 or over
- Have a household income under £80,000 (or £90,000 in London)
- Be a first-time buyer or former homeowner who can’t afford a home
- Be not in rent or mortgage arrears
- Have a good credit history
- Be able to cover buying costs (usually around £4,000+)
Find out more: Am I eligible for a mortgage?
How do I apply for a Shared Ownership scheme?
Get in touch with our experts on 01489555080 and they’ll run you through the whole process from start to finish. You can apply directly through your local Help to Buy agent or the Government’s Shared Ownership portal.
If you’re currently renting a council or housing association home, you might be eligible for Social HomeBuy, which allows you to purchase a share of your existing home — often with a discount of £9,000 to £16,000, depending on location.
What property can I get with Shared Ownership?
Shared Ownership properties are usually:
- New-build homes, or
- Re-sales through housing associations
All shared ownership homes are leasehold, not freehold. That means you’ll pay service charges and ground rent and may have restrictions on how you use the property.
Is Shared Ownership applicable to first-time buyers only?
No, while it’s ideal for first-time buyers, Shared Ownership also applies to:
Older People’s Shared Ownership (OPSO)
- For buyers aged 55+, with one key difference:
- You can buy up to 75% of the property
- No rent is charged on the remaining 25%
Home Ownership for People with Long-Term Disabilities (HOLD)
- For buyers with disabilities if shared ownership homes don’t meet your specific needs.
Purchasing more shares over time a.k.a. staircasing
Once you’ve lived in the property for a set period (check your lease), you can buy more shares, often in 10% increments until you own the home outright.
Example:
If your home is valued at £200,000 and you want to buy an extra 25%, you’ll pay £50,000 plus legal and valuation fees.
There are usually no restrictions on staircasing, but it’s wise to review your lease and get legal advice before proceeding.
Can OneDome help me with Shared Ownership?
Absolutely. Once you’ve applied and been accepted for Shared Ownership, OneDome can help you secure the mortgage you need to move forward. Our Mortgage Passport makes it simple to
- Compare 90+ mortgage lenders to make sure you get the best possible rate
- Get a personalised quote in minutes
- Pre-qualify for a Mortgage in Principle
- Show sellers and agents you’re ready to buy
- Access expert support from our mortgage advisors
The smart way to get a mortgage: Get my Mortgage Passport
Prefer to speak to someone? Call our mortgage experts on 01489555080
Explore more: Different types of mortgages: a guide
The smart way to find a mortgage
If you’d prefer to talk to a our experts directly, you can call 0203 8686 262 between 09:00 and 17:00
Search for properties
Looking for a home near a train station, or good schools? Now you can easily find your dream home by searching for what matters to you with our intelligent property search tool.
Find a conveyancer
Easily compare conveyancers based on price, reviews, and ratings. You can immediately get free quotes and instruct them online with the click of a button.
Compare estate agents
Find the best estate agent to sell your home. Easily compare local agents based on price, reviews, and successful experience selling homes like yours for at or above asking price.