Shared ownership mortgages

The maximum LTV we will consider lending on shared ownership properties is 90% (80% for new build properties) of the value of the share of the property of the applicant(s) is buying / will own (not the full market value of the whole property).

The following rules apply to shared ownership properties:

  • We will lend 25% - 85% on Shared Ownership schemes (i.e. a clients' minimum share must be for at least 25% and the maximum share on initial purchase cannot exceed 85%).
  • The applicant(s) initial purchase is based on a long lease (e.g. 99 or 125 years) and may be for as low as a 25% share. The applicant(s) can purchase further shares in the property, reducing the rent they pay and increasing their ownership of the property. Increasing the shareholding is known as  'staircasing'.
  • The mortgage must be conducted on a full repayment basis.
  • The facility to transfer the mortgage to full or part interest only is not available whilst the mortgage is conducted on a shared ownership basis.