Shared Ownership UK 2026
Shared Ownership lets you buy between 10% and 75% of a property and pay subsidised rent on the rest. It is designed to help people who cannot afford to buy outright.
How It Works
You buy your share using a mortgage and deposit (typically 5 to 10% of your share value). You pay a mortgage on your share and rent to the housing association on the portion you do not own.
Example on a £300,000 property:
- Your share: 40% = £120,000
- Deposit at 10%: £12,000
- Mortgage: £108,000
- Rent on remaining 60%: approximately £450 per month
Real Total Monthly Costs
| Cost | Typical Amount |
|---|---|
| Mortgage payment | Depends on share size |
| Rent on unsold share | £300–£600/month |
| Service charge | £100–£300/month |
| Maintenance | Your full responsibility |
The combined mortgage plus rent is often higher than people expect. Always calculate total monthly cost before proceeding.
Staircasing — Buying More Shares
You can buy additional shares over time — typically in 10% increments — until you own 100%. Each purchase is at current market value, so rising prices make further staircasing more expensive.
Pros and Cons
Pros: Lower deposit needed, get on the property ladder, subsidised rent below market rate.
Cons: Service charges, full maintenance responsibility, selling complications, housing association has right of first refusal on resale.
Shared Ownership terms vary. Always get independent legal advice before purchasing.