Looking to get on the property ladder? Designed with first-time buyers in mind, shared ownership is one way to buy a property that is helping young people across the country to own their own home. But what exactly is shared ownership? Experts from national housing association, Guinness Homes, bust some common myths around shared ownership and shine a light on one of the newest developments coming to Leeds city centre:
Shared ownership is just renting by another name.
FALSE! Shared ownership allows buyers to purchase a percentage of the property from the housing developer, often between 25 and 75 per cent of the market value. Buyers then pay a low monthly rental payment on the remaining unpaid shares in addition to any mortgage costs and service charges.
Shared ownership means you share the home with strangers.
FALSE! Shared ownership actually refers to the percentage of shares in the home that the buyer owns, with the remaining percentage being owned by the developer.
Buying shared ownership means you can’t ever own 100% of your home.
FALSE! Residents can purchase more shares in the property over time in a process known as ‘staircasing’. This can happen when a resident has built up enough of a deposit to purchase the next percentage portion of the property and decreases the monthly rental amount paid to the housing developer. This can be done in increments or all at once.
Shared ownership is not affordable.
FALSE! Because buyers purchase the percentage of the property that they can afford, the deposit for a shared ownership home is much smaller than a traditional purchase, making it easier to get on the property ladder. There is no pressure to increase the amount of shares owned, and more can be purchased ad hoc, tailored to the buyer’s financial situation.
Shared ownership homes are low quality.
FALSE! Affordability doesn’t mean a compromise on quality. At Guinness Homes, for example, some of their developments that offer both shared ownership and outright sale properties for sale share the same specification. As with outright sale properties, there are a range of shared ownership options aimed at different price points.
Guinness Homes has launched its new development, Points Cross, which offers 193 apartments and duplexes. Each home boasts a high specification with modern, contemporary features, including fully fitted kitchen units with marble laminate worktops, integrated dishwasher / fridge freezer, induction hob, oven and stainless-steel extractor hood, VT kitchen / living flooring, heated towel rails and carpets to all bedrooms throughout.
Onsite facilities are set to include a café and space for a yoga and wellbeing studio, as well as selected parking availability.
Situated in a dynamic, thriving community, the homes perfectly mix vibrant city living with the tranquillity of a dockside location. Located on Chadwick Street, the development is moments from the Crown Shopping Centre and a convenient 10-minute walk from Leeds Train Station, putting it at the very heart of Leeds city centre.
Get in touch!
If you have any questions about shared ownership or would like to view our show home, speak to our sales team today by calling 0300 456 0522 or by visiting: pointscross.co.uk
