{"id":2950,"date":"2022-01-24T16:40:24","date_gmt":"2022-01-24T16:40:24","guid":{"rendered":"https:\/\/www.yopa.co.uk\/homeowners-hub\/?p=2950"},"modified":"2022-01-24T16:40:25","modified_gmt":"2022-01-24T16:40:25","slug":"how-do-you-value-a-shared-ownership-home","status":"publish","type":"post","link":"https:\/\/dy36-2.stage.yopa-dev.co.uk\/homeowners-hub\/how-do-you-value-a-shared-ownership-home\/","title":{"rendered":"How do you value a shared ownership home?"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">When you\npurchase a property in the UK on a <a href=\"https:\/\/www.yopa.co.uk\/homeowners-hub\/what-does-shared-ownership-mean\/\">shared ownership<\/a> basis, you are buying a percentage of\nthe property (usually somewhere between 25% &#8211; 75%) rather than owning 100% of\nit yourself. Your local <a href=\"https:\/\/www.housing.org.uk\/about-housing-associations\/\">housing association<\/a>, <a href=\"https:\/\/www.gov.uk\/find-local-council\">council<\/a> or a private developer will own the\nrest of the property and you will pay a rental fee to them to cover the\npercentage of the property that they own. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Not <a href=\"https:\/\/www.gov.uk\/affordable-home-ownership-schemes\/shared-ownership-scheme\">everyone<\/a> is eligible to purchase a shared\nownership property. You must generally be a first-time buyer, unable to afford\nto purchase your own home or own an existing shared ownership property. Your\nhousehold income must also not exceed \u00a380,000 (\u00a390,000 in London). <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Not every\nproperty can be bought on a shared ownership basis either. Shared ownership\nproperties are usually either new-build homes or existing shared ownership\nproperties which are being resold. When existing shared ownership properties\nare resold, the new buyer will need to purchase the same percentage (or more) which\nbelongs to the current owner. Most shared ownership properties are generally\nsold on a <a href=\"https:\/\/www.yopa.co.uk\/homeowners-hub\/proposed-leasehold-reform-in-2021-a-summary\/\">leasehold<\/a> basis as well, which means there will\nbe additional fees in the form of a monthly service charge and contributions to\nmaintenance works.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>What are the benefits of buying a shared ownership property? <\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The main\nbenefit of buying a shared ownership property is that you can buy a more\nexpensive property (whether that be a larger home or in your preferred location)\nthan you would be able to afford on your own based on the amount of money you\ncan borrow via a mortgage. Since the amount you are spending is less, you don\u2019t\nneed to have a huge deposit saved either. For first time buyers, this means\nbeing able to get on the property ladder much sooner than they would have been\nable to if buying solo. You also have the option to buy additional shares in\nthe property from the housing association until you own 100% of the property\n(or a maximum of 80% of a home in a \u2018<a href=\"https:\/\/www.gov.uk\/affordable-home-ownership-schemes\/shared-ownership-scheme\">designated protected area<\/a>\u2019), which is known as <em>staircasing<\/em>.\n<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>What happens if you decide to sell your shared ownership property? <\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">If you decide\nto sell your shared ownership home, the proceeds from the sale will be split proportionately\nbetween yourself and the housing association, council or developer based on the\npercentage of your shares in the property. This includes any profits if your\nhome has increased in value since you bought it. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">When it comes\nto getting the property valued ready to be put on the market, you would do this\nin much the same way as you would with any property. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As a first port\nof call, an instant <a href=\"https:\/\/www.yopa.co.uk\/online-valuation\">online valuation tool<\/a> such as Yopa\u2019s is a good way to get a\nsense of how much your property may be worth. You just need to enter your\npostcode and the current number of bedrooms your property has. To get a sense\nof how the local property market is performing, you can also have a quick look\nat both recent sold prices and the current asking prices for similar properties\nin your area on property portals like <a href=\"https:\/\/www.rightmove.co.uk\/\">Rightmove<\/a> and <a href=\"https:\/\/www.zoopla.co.uk\/\">Zoopla<\/a>. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">To get an\naccurate valuation of your property, you would need to request an <a href=\"https:\/\/www.yopa.co.uk\/property-valuation\">in-person\nvaluation<\/a> from a local\nexpert. Reputable agents should always provide this service free of charge,\nwith no obligation to list your property with said agent. <\/p>\n\n\n<div class=\"valuation-widgets\">\n    <div class=\"valuation-widgets__col\">\n        <a href=\"https:\/\/www.yopa.co.uk\/online-valuation\" class=\"valuation-widget\">\n            <div class=\"media\">\n    <div class=\"media__media\">\n        <img decoding=\"async\" src=\"https:\/\/dy36-2.stage.yopa-dev.co.uk\/homeowners-hub\/wp-content\/themes\/yopa\/assets\/images\/icon-house.svg\" alt=\"\" role=\"presentation\">    <\/div>\n    <div class=\"media__inner\">\n        <div class=\"media__heading\">\n            Instant online <span class=\"chevron\">valuation<\/span>        <\/div>\n        <div class=\"media__content\">\n            <p>Get a rough estimate of your home's value now.<\/p>        <\/div>\n    <\/div>\n<\/div>\n        <\/a>\n    <\/div>\n    <div class=\"valuation-widgets__col\">\n        <a href=\"https:\/\/www.yopa.co.uk\/property-valuation\" class=\"valuation-widget\">\n            <div class=\"media\">\n    <div class=\"media__media\">\n        <img decoding=\"async\" src=\"https:\/\/dy36-2.stage.yopa-dev.co.uk\/homeowners-hub\/wp-content\/themes\/yopa\/assets\/images\/icon-currency.svg\" alt=\"\" role=\"presentation\">    <\/div>\n    <div class=\"media__inner\">\n        <div class=\"media__heading\">\n            Face-to-face <span class=\"chevron\">valuation<\/span>        <\/div>\n        <div class=\"media__content\">\n            <p>Book an appointment with your local Yopa agent.<\/p>        <\/div>\n    <\/div>\n<\/div>\n        <\/a>\n    <\/div>\n<\/div>\n\n\n\n\n<p class=\"wp-block-paragraph\">When it comes\nto shared ownership properties, the housing association (or whoever owns the\nremaining share in your property) may wish to vet the estate agent you ultimately\nchoose to sell with, or they may be more prescriptive and have a list of\npreferred agents who they work with. However, it is always best to ask several\nindependent agents to provide a valuation to give you the most accurate overall\nfigure when it comes to asking price.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Depending on\nthe contract you signed, the housing association may also be entitled to first\nrefusal if they want to purchase your shares in the property from you or have a\nsay in which buyer you accept an offer from once the property goes on the\nmarket. They will usually also have the right to find a buyer before the\nproperty goes on the open market. This should all be stipulated in the contract\nyou signed when you purchased the property but do double-check if not before\nyou agree to work with a particular estate agent(s).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As part of the\nvaluation, you may be required to arrange (and pay for) a <a href=\"https:\/\/www.yopa.co.uk\/homeowners-hub\/what-do-surveyors-look-for-during-a-house-survey\/\">survey<\/a> to be undertaken by surveyors appointed by the housing\nassociation. There may also be other costs which need to be factored in for a\nshared ownership property on top of the general moving costs you would expect\nto incur. This includes a marketing fee, the housing association\u2019s legal fees\nin respect of the sale, a leasehold information pack and an assignment fee if\nthe housing association finds a buyer for the property (usually around 1-2% of\nthe total property price). All of which are payable to the housing association.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Depending on\nthe amount of time left on your leasehold agreement, if you have the\nopportunity to do so, it may be financially beneficial to extend or buy out the\nlease to attain a higher offer price from potential buyers. Again, make sure\nyou check your lease documents carefully before you decide to put your property\non the market and set an asking price.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Since the sale\nof a shared ownership property can be slightly more complex overall, we would\nalways recommend appointing a <a href=\"https:\/\/www.yopa.co.uk\/homeowners-hub\/how-do-you-find-a-good-conveyancer\/\">solicitor or conveyancer<\/a> who specialises in shared ownership\nproperties to assist with the sale of your property. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>When you purchase a property in the UK on a shared ownership basis, you are buying a percentage of the property (usually somewhere between 25% &#8211; 75%) rather than owning 100% of it yourself. Your local housing association, council or a private developer will own the rest of the property and you will pay a<\/p>\n","protected":false},"author":4,"featured_media":2951,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[2,1],"tags":[],"class_list":["post-2950","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-selling","category-buying"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How do you value a shared ownership home? - Yopa Homeowners Hub<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/dy36-2.stage.yopa-dev.co.uk\/homeowners-hub\/how-do-you-value-a-shared-ownership-home\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How do you value a shared ownership home? - Yopa Homeowners Hub\" \/>\n<meta property=\"og:description\" content=\"When you purchase a property in the UK on a shared ownership basis, you are buying a percentage of the property (usually somewhere between 25% &#8211; 75%) rather than owning 100% of it yourself. 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