Lowering London Rent Prices
The eye-watering average rent for a place in London has surged in recent years with a whopping 28% rise. The affordability of renting has been at its worst for a decade across the UK especially in London so, what can a renter in the city do?
There are alternative renting and buying schemes that can be less expensive than paying a private landlord and offer a step towards homeownership, such as Shared Ownership.
Shared Ownership
Whether you’re a first-time buyer or looking for your next property, Shared ownership is a step towards leaving sky-high rent prices behind and finally owning a share of your home.
Shared Ownership allows you to purchase a share in your chosen property and live in it as your own. The deposit for a Shared Ownership home is significantly less than on an open-market property and can be as low as 5% of the share you’re buying.
The rent you pay on the remaining shares is usually cheaper than what you’d find in the private market. If you want to own your home fully, you can do this over time by ‘staircasing’. Staircasing is where you build equity in your new home over time until you are the sole shareholder.
Conditions for Shared Ownership
You don’t need to be a first-time buyer to be eligible for Shared Ownership. However, you must not currently own a home or be in the process of selling your home to apply.
Take a look at some Shared Ownership properties with Southern Housing New Homes.
Benefits of Shared Ownership vs Renting
• Shared Ownership homes can work out cheaper than renting in London! They can provide a more affordable option for those looking to escape high rental prices.
• Easier than buying a home outright: The initial deposit you pay for your share of the house is much smaller than what you would normally pay in the open market.
• Increase your share in the property: Known as ‘staircasing’ – you can invest in a higher percentage of your property and work towards full ownership over time at a pace that suits you.
• Most homes are brand new: One of the biggest perks of shared ownership is that many homes are newly built, allowing you to enjoy modern designs and energy efficiency.
• Flexibility in ownership: You can choose how much of the property you want to buy, making it easier to find a share that fits your budget.
• Potential for equity growth: As property values increase, your share can grow too, giving you the chance to build wealth.
• Community living: Many shared ownership developments are in vibrant communities, giving you a chance to connect with neighbours and enjoy local amenities.
Southern Housing New Homes acknowledges the significance of offering a wide range of affordable housing options that can accommodate all potential buyers. Our shared ownership properties have been designed to meet all modern-day living needs, ensuring that all buyers can purchase their dream home.
Discover Shared Ownership homes for sale with Southern Housing New Homes.