RESALES
URBAN MOVES LEADS THE MARKET IN SHARED OWNERSHIP RESALES Urban Moves Ltd is the UK’s leading shared ownership nomination service provider. Known for its transparent and direct approach, its teams are experts in their fields and work together to ensure the process goes as quickly and smoothly as possible. Urban Moves understands the shared ownership scheme and works hard with owners, the housing associations and Homes England to ensure that the scheme helps more and more first time buyers get on the property ladder SHARED OWNERSHIP EXPLAINED When you buy a shared ownership home you purchase an initial share of the property and the housing association owns the remainder; you’ll pay a mortgage on the share you own and rent on the share you don’t. This makes the process of getting on to the property ladder that much more affordable and more easily accessible for first time buyers. If you want to, down the line, you can purchase more shares of your home either gradually or all at once – this is known as “staircasing”. The more shares of the property you own the less rent you pay to the housing association. If you decide to staircase up to 100% ownership, the property is yours; you will still pay any ground rent and service charge, but no rent to the housing association. Alternatively, you can sell your share for what it is now worth and move on – the housing provider will help you!
THE BENEFITS OF BUYING A RESALE PROPERTY Shared ownership resales are a little different. Resales are shared ownership properties that the current owners want to sell. There are multiple advantages of buying resale, one of which is that you aren’t waiting for the home to be built, you can go and see it, as it is,
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and really get a feel for the property – something that’s tricky to do using show flats, pictures and floorplans. You are also not going to be subject to the “new build premium”. New builds are valued at a higher price, newer equals more expensive. Therefore, the rents on a new build property will be that much higher than a resale, and your mortgage would be more too. Another advantage of resales is that you would be moving into an established property and neighbourhood – not buying off-plan and wondering what your neighbourhood will be like.
WHERE URBAN MOVES COME IN When the owner of a shared ownership home wants to sell, it’s Urban Move’s job to find them a new shared ownership buyer. It markets the property for the owner and goes through all the applicants to find them a new buyer – one that is eligible for the scheme and passes the affordability criteria. This way it ensures that the process is as seamless as possible and that no one’s time is needlessly wasted. It works with the current owner, their housing association and the buyer to keep things running smoothly.
CRITERIA The eligibility criteria for resales are much the same as with new build –
however with resales you cannot buy a lower share than the current owner is selling. Resales are for anyone who cannot afford to buy a property on the open market, their total household income must be no more than £90,000 inside London or £80,000 outside of London, they must not already own a property and must have good credit.
SO, IT’S LIKE RENTING? Not at all! When you purchase a new build shared ownership or resale shared ownership property you’re buying the lease on the property, and as a leaseholder you have the same rights and responsibilities as a full owner-occupier. You will likely want to make changes and redecorate, which you absolutely can do! Usually, any cosmetic or decorative changes except structural and hard flooring can be made without permission – so paint that feature wall and put those shelves up!
INTERESTED? Stay up to date with its ever-expanding listings of shared ownership resales by visiting urbanmoves.com. For expert hints and tips about getting on the property ladder be sure to follow Urban Moves on Facebook, Instagram or Twitter and watch out for its next feature in First Time Buyer magazine.
First Time Buyer April/May 2022
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08/03/2022 14:49
