Shared ownership London is also known as the part buy part rent services helps the people who find it difficult to afford complete property at one time. It is more profitable for the middle class people who are planning to get the ownership of the home or make some kind of investment. In this article you will get detailed information about this scheme and how it can benefit you.
What is Part Buy Part Rent?
Shared Ownership London is the scheme offered by Housing Association. It is mostly for the people who cannot afford to buy the outright property. With the help of such scheme, you can buy half of the property and rent the other half. This is one of the easiest ways to get the home ownership on your name. To get such ownership for yourself, all you need to do is make certain deposit for the particular property that you are planning to buy. You need to pay for the property of your share which can vary from 25%-75% of the property value. The remaining amount is the subsidize rent on the share that you have not purchased. If you become financially stable in future, you can purchase the remaining share. Till that time, shared ownership London schemes can be of great support.
There are many companies that offer such type of services at affordable price. However, it is your responsibility to choose the agent or the company on whom you can rely completely and years of experience in the same field.
Part buy part rent service is considered as the best way to save money and get the ownership on your name. It is a low cost investment that helps you purchase the part of the property without much effort. This means you need to pay partial amount of the purchase of the property that you make and for the remaining payment, you need to pay as a rent on the area that you don’;t own.
How does this Scheme work?
Depending on the overall value of the property, you need to pay 25-75% of the amount to buy the share of the property. The Housing Association will then have the remaining part of the house for which you need to pay rent. The rent is usually up to 3% of the overall property value. Such type of scheme is available for the leasehold homes which mean you can own that particular property for a specific period. Usually it is for 99 years. Once you purchase the part home, you become the owner of the lease. There would be a specific period that would be given to you for owning the home. Besides, the association will provide you with certain rights and responsibilities.
Selling your Shared Ownership Home
If you plan to sell the part buy that you purchase, then it is necessary to inform it to the housing association in writing. This will help them to look for another buyer. If you have complete home ownership, then informing home association is not necessary. If you are planning to make such investment, then a good research is extremely important. Talk with the housing association to know the complete process involved.