Category: Property Finance & Mortgage

USDA loans offer homebuyers the option to get a mortgage even without a down payment. Because their goal is to support very low or low-income families with their goal of buying a home, removing the need to pay a down payment will make it much easier for them to become homeowners.

As with any other mortgage or loan, there are specific requirements that determine who is eligible.

You will need to take out a mortgage to pay for your share of the home’s purchase price. Shared ownership properties are always leasehold. Sourced from: https://www.gov.uk/affordable-home-ownership-schemes/shared-ownership-schemes

The shared ownership offers to sell each party a share of between 25-75% of the home’s value. The next question becomes where and who exactly provides these opportunities. Currently, one of the providers of these services is a HomeBuy agent.

A few private developers in London also run shared-ownership schemes, but these are rare. Sourced from: http://metro.co.uk/2011/11/16/shared-ownership-a-beginners-guide-221930/

Once you own 75%, you will not have to pay rent on the remaining share Sourced from: https://www.gov.uk/affordable-home-ownership-schemes/shared-ownership-schemes The seniors can buy a share of up to 75% in shared ownership

Like any other investment, shared ownership has quotas and restriction on the individuals that can apply for the opportunity. You can buy a home through shared ownership if: your household earns £60,000 a year or less (or £71,000 a year or less in London for a 1 or 2 bedroom property, or £85,000 a year or less in London for a 3 or more bedroom property) you’re a first-time buyer (or you used to own a home, but can’t afford to buy one now) you rent a council or housing association property Sourced from: https://www.gov.uk/affordable-home-ownership-schemes You can sell your shared ownership property at any time, but the housing association has the right to try to find a buyer before you put it on the open market

The amount of cash you and the housing association will get from the sale will depend on the market value of the property at the time. Sourced from: http://www.which.co.uk/money/mortgages-and-property/guides/shared-ownership/what-is-shared-ownership/ Interestingly the offer is only available to people that do not own a home at that moment or used to own a home