Shared ownership: Can you be kicked out of shared ownership?

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Many struggle to get onto the property ladder, but luckily, if you can’t afford the mortgage on 100 percent of your home, there are still options to help you purchase your first home. The Government offers affordable home ownership schemes such as shared ownership.

You may be able to get financial help from the Government to buy a property.

You could get:

  • help with savings, through a low-interest loan (in England and Wales)
  • a home through shared ownership (UK wide)

In the UK, the Government programme aiming to help first time buyers is called Help to Buy.

Help to Buy was announced in Chancellor of the Exchequer George Osborne’s 2013 budget speech.

He described it as “the biggest Government intervention in the housing market since the Right to Buy scheme” of the 1980s.

Buyers contribute a five percent deposit and the Government provides an equity loan for up to 20 percent of the property value.

You can buy a home through shared ownership if your household earns £80,000 a year or less (or £90,000 a year or less in London) and any of the following apply:

  • you’re a first-time buyer
  • you used to own a home, but cannot afford to buy one now
  • you’re an existing shared owner

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Can you be kicked out of shared ownership?

Shared ownership properties are always leasehold, meaning you only own a property for a fixed period of time.

You’ll need to take out a mortgage to pay for your share of the home’s purchase price, or fund this through your savings.

To buy a home through a shared ownership scheme contact the Help to Buy agent in the area you want to live.

Because you own a share of the property, the housing association cannot evict you.

They cannot evict you for non-payment of occupancy payments in the same way as a landlord can evict a tenant.

However, they may be able to get a court order to force you to pay up or sell your share of the home.

You should contact an adviser or a solicitor to help you if you are threatened with eviction.

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