Housing Secretary Robert Jenrick has announced on Tuesday, a new model for Shared Ownership to help more people onto the property ladder, amid a number of schemes designed to improve routes to homeownership.
The new Shared Ownership model will reduce the minimum initial share you can buy in a property from 25% to 10%, and allow people to buy additional shares in their home in 1% instalments, with heavily reduced fees.
It also introduces a 10-year period for new shared owners where the landlord will cover the cost of any repairs and maintenance, easing buyers into homeownership.
The new model of Shared Ownership will be implemented on all new build Shared Ownership homes delivered through the new Affordable Homes Programme, which will begin in 2021. The programme includes £11.5bn of planned funding over five years – 2021 until 2026 – which the Government has said should provide up to 180,000 new homes.
Additionally, the Housing Secretary has today launched a consultation to consider how best to raise accessibility standards for all new homes in recognition of the importance of suitable homes for older and disabled people.
Housing Secretary Robert Jenrick said, “Today’s announcement represents the highest single funding commitment to affordable housing in a decade and is part of our comprehensive plans to build back better.
“This government is helping hard-working families and prospective first-time buyers get their feet on the housing ladder in an affordable way.
“Thanks to the range of flexible ownership options being made available, more families across the country will be able to realise their dreams of owning their own home, with half of these homes being made available for ownership.”