Shared ownership is a government-backed scheme where you buy a share (usually 25–75%) of a home and pay rent to a housing association on the remaining share. It's designed as a stepping-stone to full ownership.
How it works
You get a mortgage on your share and pay rent on the rest. Over time you can 'staircase' — buy additional shares — until you own the property outright (if it's a house; some leasehold flats have limits on staircasing).
Costs to be aware of
- Rent on the unowned share (not just a mortgage)
- Service charge (these can be substantial in blocks of flats)
- Leasehold: most shared ownership is leasehold, so check the lease length and ground rent terms
- Restrictions on subletting
Is it right for you?
Shared ownership can be a sensible route into homeownership in high-price areas. But the total monthly costs (mortgage + rent + service charge) can be comparable to buying on the open market. Get a full breakdown of all costs before committing.
This is general information. Contact your local Help to Buy agent for scheme eligibility and availability in your area.