🏠 UK Shared Ownership Guide
Own the share
you can afford.
Shared Ownership lets you buy a percentage of a home and pay rent on the rest — making homeownership possible when buying outright isn't an option yet.
25%
minimum share you can buy
5%
deposit based on your share only
100%
you can staircase to full ownership
The Basics
How Shared Ownership
actually works.
You buy a share of a leasehold property from a housing association. You pay a mortgage on your share and rent to the housing association on theirs.
🏘️
You Buy a Share
Typically between 25% and 75% of the full market value, though the minimum can vary by scheme and housing association.
🏠
You Pay Rent on the Rest
A below-market rent is paid to the housing association on the share you don't own. Combined mortgage and rent is often lower than renting privately.
📈
You Can Staircase
Over time, you can buy additional shares ("staircasing") — often in increments as small as 1% — until you own the property outright and pay no rent.
⚠ Shared Ownership schemes and eligibility rules vary across England, Wales, Scotland and Northern Ireland. Speak to us to understand what is available in your area.
Eligibility
Are you eligible for
Shared Ownership?
Eligibility criteria are set by the government and housing associations. Rules can vary by scheme and region.
💷
Household Income Cap
Generally, your household income must be £80,000 or less (£90,000 in London). This may vary by scheme.
🏠
First-Time Buyer or Previous Owner
You must be a first-time buyer, or a previous homeowner who no longer owns property and cannot afford to buy outright.
📋
Property Size Must Be Suitable
The property must meet your household's needs — you cannot buy a property that is larger than you require.
🇬🇧
UK Residency
You must have the right to reside in the UK and intend to live in the property as your only or main home.
🏗️
Military Personnel Priority
Active and recently discharged armed forces members receive priority for Shared Ownership in England.
📍
Local Connection (Some Schemes)
Certain housing associations prioritise buyers with a local connection to the area. Criteria vary by scheme and location.
The Mortgage
Your deposit is based on
your share — not the full price.
This is the key advantage. A smaller mortgage deposit is needed because you're only buying part of the property.
🏷️
Example: £300,000 Property
You buy a 50% share = £150,000. A 5% deposit is just £7,500 — rather than £15,000 on the full property price.
💡
Specialist Mortgage Required
Not all lenders offer Shared Ownership mortgages. We have access to lenders across our comprehensive panel who specialise in this area.
📄
Leasehold Property
Shared Ownership properties are typically leasehold. The lease length is important — lenders require sufficient years remaining on the lease.
🏦
Mortgage + Rent Each Month
Your monthly outgoings include both your mortgage repayment on your share and rent to the housing association. We calculate the full picture for you.
Growing Your Ownership
Staircase your way
to full ownership.
Staircasing lets you buy additional shares in your home, reducing the rent you pay and building your equity over time.
Traditional Staircasing
Buy additional shares in larger tranches (e.g. 10%+)
Each purchase based on current market value
New mortgage arranged for increased share
Rent reduces proportionally as share increases
Solicitor costs apply for each staircasing transaction
Gradual Staircasing (New Homes)
From 2021, new-build SO allows 1% increments
Designed to make staircasing more affordable
Reduced transaction costs for 1% purchases
Available for first 15 years of ownership
Subject to housing association terms
Costs Overview
The full cost picture
of Shared Ownership.
Beyond your mortgage, there are ongoing costs to factor in. Understand these before committing.
🏦 Mortgage repayment
On your share only
🏘️ Rent to housing association
On the unsold share
🛠️ Service charge
Maintenance of communal areas
🔧 Buildings & contents insurance
Your responsibility
💼 Solicitor fees
On purchase & any staircasing
🗺️ Stamp Duty Land Tax
Special SO rules apply — can defer
Note: rent is typically set at approximately 2.75% of the unsold equity value per year, though this varies by housing association.
The Process
How to buy a
Shared Ownership home.
The buying process involves the housing association as well as a lender — we coordinate the whole journey for you.
Step 1
Register & Find
Register with your local Help to Buy agent or housing association portal. Find a suitable property.
→
Step 2
Eligibility Check
Housing association confirms your eligibility for that specific scheme and property.
→
Step 3
Mortgage Advice
We find the right SO mortgage from our comprehensive lender panel and secure your Agreement in Principle.
→
Step 4
Reservation
Pay reservation fee to housing association. Instruct solicitor familiar with SO conveyancing.
→
Step 5
Exchange & Complete
Contracts exchanged, mortgage funds released, keys collected. You're an owner.
An Agreement in Principle shows how much you may be able to borrow based on the information you provide. It is not a mortgage offer and is subject to full application and credit assessment.
Weighing It Up
Shared Ownership:
benefits & considerations.
Benefits
Lower deposit required than open market purchase
Monthly outgoings can be lower than private rent
Build equity in a property you live in
Can increase ownership share over time
Path to outright ownership
Things to Consider
You pay both mortgage and rent each month
Service charges add to monthly outgoings
Staircasing costs money each time you buy more
Selling can involve housing association approval
Lease terms and HA policies vary — read carefully
Scheme rules differ across England, Wales, Scotland and Northern Ireland. This guide primarily describes the scheme as it operates in England. Always take personalised advice based on your circumstances.
The MakeMyMortgage Difference
SO mortgages need
a specialist broker.
🌐
SO-Specialist Lenders
Not all lenders offer Shared Ownership mortgages. We offer advice across a comprehensive lender panel representative of the whole of the market.
🎯
Eligibility Navigation
Every scheme has different criteria. We guide you through the eligibility requirements and ensure your application is structured correctly from the start.
🔍
Proactive Document Checks
We thoroughly review all your documents before they reach the lender — catching potential issues early and giving your application the best possible start.
🛡️
Regulated, Expert Advice
Providing regulated advice and working for you. Expert, tailored advice on whether Shared Ownership is the right route for your circumstances.
📋
End-to-End Management
We liaise with housing associations, solicitors and lenders so the process runs smoothly from start to completion.
💷
Broker-Only Rates Available
Some mortgage rates are only available through brokers and not accessible by going direct to lenders.
Get Started Today
Ready to explore Shared Ownership?
No obligation. Clear, expert advice on what's right for you.
makemymortgage.co.uk →
Regulatory Information
Your Rights & Our Status
⚠️ Important Risk Warning
Your home may be repossessed if you do not keep up repayments on your mortgage.
🏛️ Our Regulatory Status
MakeMyMortgage is an Appointed Representative of PRIMIS Mortgage Network, a trading name of Personal Touch Financial Services Ltd. Personal Touch Financial Services Ltd is authorised and regulated by the Financial Conduct Authority.
💷 Fee Information
We may charge a broker fee for our mortgage advice service. Our fee will be discussed and agreed with you before any work begins. Our typical fee is £299 but this can vary depending on the complexity of your mortgage needs. Our fee will be discussed and agreed with you before any work begins.
📞 Contact Us
MakeMyMortgage · makemymortgage.co.uk · This guide is for information purposes only and does not constitute personal mortgage advice. Information was correct at time of publication and is subject to change.
We offer mortgage advice based on a comprehensive panel of lenders representative of the whole of the market. We do not offer advice across all available products from all lenders. Personalised mortgage advice is available on request. The guidance contained within this document is subject to the UK regulatory regime and is therefore primarily targeted at consumers based in the UK.