Pros and Cons of Shared Ownership
Shared Ownership is a popular house buying process for many, however there are considerations to weigh-up before committing.
Pros of Shared Ownership
- Generally a smaller deposit is required meaning you can buy your new home faster.
- Great option if you are on a lower income.
- You can buy more shares, when you can afford it.
- And sell the ones you already own at any time.
- Your monthly payments are usually lower than renting privately.
- Some houses can become freehold once you staircase to 100%
- You are free to decorate internally.
- If the property value increases, so will the value of your shares.
Cons of Shared Ownership
- All properties sold through Shared ownership are leasehold.
- You have to pay a 100% of the service charge and ground rent, however low your share is.
- If you want to sell your property, it may need to be via the housing association you purchased from.
- It costs extra to buy more shares.
- Not all lenders offer mortgages to Shared ownership properties.
- There are restrictions to any structural alterations. You will require permission from the housing provider.
- You are responsible for all repairs and maintenance costs.
- You will pay Stamp Duty on the whole property when you own share of 80% or more.
Think Shared ownership is right for you? Start the search for your dream home here.
Disclaimer
newhomesforsale.co.uk is an information platform and not a financial advisor, mortgage broker or mortgage lender. Always get financial advice before making significant decisions about your money, mortgages and buying a house.

Publish date 5th June, 2025
Reading time: 3 minutes
Written by Heather Bowles
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