Shared Ownership Mortgages

As part of our commitment to helping more people get on the property ladder, we’ve introduced shared ownership mortgages in Wales and England.

Shared Ownership means your client can buy a share of the property and pay rent to a landlord, usually a housing association or socially registered landlord, on the rest.

As their circumstances change, your customer can increase their share in the property and the amount they borrow for their mortgage and pay less rent. This is called staircasing.

The benefits are that applicants can save for smaller deposits and because the amount they are borrowing is lower it can also help to achieve mortgage affordability thresholds.

At the moment, we don't accept remortgage applications for shared ownership.

The key features of our shared ownership mortgages are:

  • We’ll lend up to 95% on new build houses and 90% on new build flats on between 25% and 75% of the property value
  • On new homes, once the offer is made it is valid for up to 8 months, with an 8 month extension available on the same rate (subject to criteria)

Find out more about buying through Shared Ownership in England and Wales.


How to complete an application for a shared ownership mortgage

  1. If you haven’t already, please register for MSO.
  2. Log into MSO using your new username and password and select affordable housing.
  3. Select “yes” property found and “yes” its new build
  4. The DIP will decline with a message saying New Build LTV has been exceeded. Please contact your BDM or the intermediary desk team, who will unlock the case for you. 
  5. Complete your client’s application as you normally would.
  6. If you have any questions, take a look at our MSO support hub.

If you need a DIP certificate please contact your BDM or the intermediary desk team.


What schemes are eligible for shared ownership

We accept applications for housing associations and socially registered landlords in Wales and England if the property is owned or being purchased under a Shared Ownership Scheme.

Will we allow applicants to staircase?

Yes, they can partially staircase going up in increments from 5% or fully staircase up to the 100% value of the property.

What is the difference between shared equity and shared ownership?

Shared ownership is buying a share of a property, often between 25% and 75% of the property value, and paying rent on the rest. Shared equity is buying 100% of the property using a mortgage, equity loan and a deposit up to the 100% value of the property.

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