Shared Ownership Mortgages: How Do They Work?

Shared Ownership Mortgages: How Do They Work?

Shared Ownership is an alternative home ownership scheme which gives first-time-buyers, and those that do not currently own a home, the opportunity to get on the property ladder at an affordable price.

The government-backed scheme allows buyers to purchase a share of a home – usually between 25% and 75% – and purchasers will only need to pay a mortgage on the share that they own, and subsidised rent on the remainder.  

The main advantage of Shared Ownership is that the initial deposit is generally lower than buying on the open market, this is because a deposit is only required on the share being purchased. Likewise, a mortgage is only required for the share being purchased, meaning the total amount borrowed is typically much lower than when buying a home on the open market. 

So, how do you know if you are eligible? While each applicant is assessed individually, we’ve outlined four key points around eligibility below.


Your household income is between £20,000 and £90,000 (£80,000 outside of London) The deposit for a Shared Ownership home is generally between 5-10% of the equity share that you are purchasing. We recommend that you speak to an independent financial advisor about suitable mortgages.


Preferential treatment is generally given to applicants that live or work within the area in which they’d like to purchase a property. However, each of our developments has a different criteria, so it’s worth checking with us before you apply. 

Existing Home Owners

If you’ve purchased a property in the past, it doesn’t make you exempt in applying for a Shared Ownership property. We consider applications from previous homeowners; however, you will need to have sold your home or have it on the market to be eligible. 

Joint Ownership 

You can also use Shared Ownership to buy alone or with another person as long as your joint incomes don’t exceed the maximum earnings bracket. To find out more about Joint Ownership, you can check out our previous article here. 

Getting the ball rolling for a Shared Ownership mortgage

We have a range of homes available across London and the South East. If you are interested in any of our available homes, head to our website to take a look at the development details, including specific eligibility criteria, availability, floorplans, sales brochures and virtual tours. 

Once you’ve found your dream home and have checked your eligibility, you just need to register your interest and complete the online application form which you’ll be able to find in your dashboard.

You will then be required to complete an online financial assessment with a specific financial advisor (the specific financial advisor differs depending on the development you’re interested in).

Once the financial advisor has confirmed your eligibility, you’ll be able to book a viewing or call us to book a personal video tour with one of our helpful sales consultants. While it seems like there are a few hurdles, we’re confident that we can match you with a property. To find out more, simply email our sales team on

Are you looking for a stylish and modern home in London or the South East?

Southern Home Ownership is dedicated to providing stylish, high-quality and contemporary new homes for sale on a Shared Ownership basis. 

If you're interested in owning a Shared Ownership property, then click on this link to take a look at our latest developments.