For those struggling to get onto the property ladder, a government scheme could really benefit you. There are a variety of schemes on offer to help people buy a property and it could benefit you and your financial situation. This particular scheme allows you to take out a mortgage on a percentage of a property and pay the rest back through rent. The possibility of taking out a mortgage on a part of a property may seem out of the ordinary, however, it is an option many people take. Our expert mortgage advisors in Sunderland, our team usually find that many applicants buy a property via the Shared Ownership Scheme. The share you can buy is usually between 25% and 75%. You can buy a 10% share on some homes. The percentage left over is owned by the local authority or builder. Not only will you have our monthly mortgage repayments, however, you will also need to pay rent on the percentage share leftover. All Shared Ownership homes are always leasehold, meaning you will be paying ground and service charges.
Prior to starting your application, we will need to check whether you qualify for the Shared Ownership scheme or not as we don't you to be declined! You will need to meet these requirements before you are able to take out a mortgage through the Shared Ownership scheme.
For those in the market for additional Shared Ownership mortgage advice in Sunderland, check out our YouTube explanation above. Our team will also common Shared Ownership FAQs just below if you are looking for more information about Shared Ownership mortgages in Sunderland.
Shared Ownership provides you with the opportunity to take out a mortgage on a percentage of a property and pay off the remaining percentage through rent. Normally, you take out a Shared Ownership mortgage on 10% and 75% of the property value. In the case that you take out a mortgage on 65% of the property, you would be making mortgage payments on this amount and rent payments on the remaining 35%. You may have two outgoing payments, however, it can be a cheaper option to go for a Shared Ownership in Sunderland instead of taking out a full mortgage or rent a property.
Because you are taking out a mortgage on a percentage of the property, you only must down a deposit on this total. In the circumstance where the minimum deposit that you are required to put down is 5%, your deposit on a share of 10-75% will be cheaper than a deposit on 100% of the property price.
For those with bad credit in Sunderland, you may need to explore the alternative to the Shared Ownership Scheme. Sadly, most lenders will not accept applicants with bad credit. You may find that some specialist lenders will offer products that are suited for bad credit applicants or those with a low credit rating. Here at Sunderlandmoneyman, we have a team of mortgage advisors in Sunderland who can look into these options with you to find a deal that is suitable for your personal and financial situation.
Shared Ownership is the mortgage so you will be required to make regular monthly payments to pay it off. As well as this, you will be required to make rental payments on the remaining share of the property to the housing association. Keep in mind that with the Shared Ownership scheme, you cannot own another property when using the Shared Ownership scheme so you must be a first time buyer to start your process. Also, you can only take out a Shared Ownership mortgage on a new build property. Any property that is purchased under the Shared Ownership scheme will be leasehold.
The requirements of taking a Shared Ownership mortgage in Sunderland is that the applicants needs to be at least 18 years of age with an annual household income of less than £90,000 Therefore, those with a higher income will unlikely qualify for the scheme.
As a mortgage broker in Sunderland, we have built up a fantastic reputation of helping applicants take out a mortgage via the Shared Ownership scheme. It is a massive boost for those looking to start the mortgage journey and are finding it difficult to save for their initial deposit. There are other Help to Buy Schemes we can help you if you are looking for an alternative route. Our mortgage advisors in Sunderland will be happy to help with exploring these with you in order to see if any of the options will benefit your financial situation.
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Our mortgage advisor Charlie Bryson has been amazing with me and Ethan. He has helped us with everything and made sure we are doing everything correctly as we are both first time buyers.
6 months ago
Helen was very helpful on the call to re arrange a call back to speak about our mortgage. Very pleasant phone call
1 year ago
This has been a fantastic service from the initial enquiry to getting the mortgage offer through, everything explained in detail and nothing was a problem, very helpful and professional staff. Would highly recommend using this company to anyone
1 year ago
Great team and great service. Always happy to help and they make the process easy to understand. They got me a deal I was happy with then got me a better one.
1 year ago
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2 years ago
Our advisor was Jason Loft and all I can say is he was amazing and very polite and so was all of his team. Me and my partner are first time buyers so were quite apprehensive about the whole process. However Jason and his team gave us all the...
2 years ago
With the help from Jason and Laura, our mortgage process went very smoothly. As first time buyers we had many questions which they were on hand to answer promptly. Would highly recommend!!
2 years ago
Listened to my every need. Very polite and helpful. Spoke well and clearly understood what was being said and great advice. Thanks
2 years ago
From start to finish, the service was great. Everything was explained clearly, every little adjustment and query I asked for was expertly dealt with by Leo, who gave me new info and examples of our mortgage requests. Process was very easy to...
4 years ago
Very quick response from the first time I contacted them. Both Cathy and Leanne were great at keeping us informed throughout the process and always responded to our emails within a couple of hours, often less. They understood the stresses and...
4 years ago
As a first time buyer I was pretty clueless as to what was needed and when to buy a house. The brokers at Sunderland moneyman made it very easy for me and guided me through the whole process. I’d defiantly give them a recommendation. Thank you...
4 years ago
I am a First Time Buyer and before I contacted Sunderland Moneyman I didn’t have a clue about mortgages or whether I would even qualify for one. My Advisor (Wayne) came across like he really cared and he was always on the end of the phone to...
4 years ago
Jason and his team gave an outstanding service. They were reassuring, consistent and were always on hand to give advice and support when necessary. I will be using their service again when my fixed rate ends in 2 years time. Thank you again...
4 years ago
Get in touch with our team who you can explain your situation so they can check your eligibility for a Shared Ownership mortgage in Sunderland.
Within this appointment, your mortgage advisor will look into your income and expenditure to work out your mortgage affordability.
After the appointment, your designated advisor will go away and search through our vast panel of lenders to find the most suitable one for you.
Our team will then look to get your mortgage agreement in principle which is helpful for backing up any purchase offers you make.
When your offer has been accepted, we will then start submitting your full mortgage application and forward the appropriate documents to the mortgage lender.
Throughout the process, your case manager will keep up updated. They will be there from the formal mortgage offer, completion and beyond.
We go beyond the mortgage. Along with securing your the best mortgage deal, we will then recommend the appropriate insurance to keep you protected.
When your mortgage is due to be renewed, we will reach out make sure you are on the best deal.
We have extensive experience help home buyers with Shared Ownership mortgages for many years and we are here to help you! When you attend your free mortgage appointment, our team will speak to you about the process and check if you match up with the scheme requirements.
For over 20 years, we have gained lots of experience and knowledge helping customers fulfil their homeowning dreams. We invest in you and provide the helpful, tailored service you need throughout the process.
Our customer service is truly reflected through our fantastic customer review which highlight how we have helped many homeowners in the mortgage process.
Utilising our modern booking system you will be able to book your free mortgage appointment online. We understand each customer has a different lifestyle and schedule which is why we are here 7 days a week so you can speak to an advisor on a weekday or weekend.
Here at Sunderlandmoneyman, we have a vast panel of lender that offer both high street and specialist products. Our role is to look through these lenders with the aim to find you the mortgage products that is suited for your financial state.
We have a team of mortgage advisors in Sunderland who have lots of experience and knowledge under their belt and will know the best route to take to finding you the best deal. Contact our tam today and we will be more than happy to help!
When you take out a mortgage, there is very rare specific circumstances where you will not be required to put down a deposit. If you are looking to utilise Shared Ownership in Sunderland, you will need to put down a deposit and the minimum that you need to put down can change depending on a few factors.
For example, the percentage of the property you are taking out a mortgage on can be a defining factor. If you are taking out a mortgage on 50% of the property, it's likely that you will put down a deposit based on that amount. In this case, if the property is valued at £200,000, you won a 50% share and the minimum deposit required is 5% of that amount, you are looking at an approximate deposit amount of £20,000.
If you increase the share of your property, this is known as "staircasing". You will need to ask the local authority and building society if they can increase the share that they own.
For those who own 10% of the property initially, you should have the choice to, for instance, purchase a further 25%, should it be affordable in the future.
You may find that there is a discussion when you purchase about whether or you could have the chance to purchase in the future.
With all Shared Ownership homes being leasehold, you will need to account for ground and service fees along with your mortgage payments and rent. As well as this, you will need to think about the costs that come with taking out a mortgage; these could involve property surveys, legal fees and any broker fees.
When it comes to picking the right property survey, even if you have to pay a bit more, it could be best to upgrade to a more detailed survey. By doing this you can find out if there is any problems present in your potential future home. Some aspects that you don't pay attention to could harm the property's value in the future. A designated mortgage advisor in Sunderland will advise you on the best survey to take.
The properties within the Shared Ownership Scheme in Sunderland are owned by housing associations or builders. You may find that the property you are interested in may have been built for a Shared Ownership mortgage meaning you would not be able to take a regular mortgage out on it.
When you get in touch with us, we will go through the whole process with explaining how the scheme works, why it may help you and how we can get started!
Book a free mortgage appointment today and begin the process of Shared Ownership in Sunderland.