How do I Secure a Mortgage for a Shared Ownership Property

If you're considering buying a shared ownership home with us, securing the most suitable mortgage for you is one of the most important steps. The good news? Getting a mortgage for a shared ownership property is often more accessible than buying a home on the open market. We’re here to guide you through the shared ownership process, while your mortgage advisor will guide you through your finance options.  

Whether you're a first-time buyer or someone looking for a more affordable route into homeownership, this guide will walk you through exactly how to get a shared ownership mortgage on a shared ownership property with us.

 

What is a Shared Ownership Mortgage?

A shared ownership mortgage is a loan that helps you buy a share of a property (typically between 25% and 75%) while paying subsidised rent on the remaining share owned by us at Moat. Because you're only buying a portion of the property, your deposit and mortgage requirements are significantly lower than with a full purchase.  

Step-by-Step guide: How to Get a Shared Ownership Mortgage

1. Check Your Eligibility

Before applying for a mortgage, you’ll need to make sure you’re eligible for shared ownership. 

 

  • First-time buyers, although some applicants who own or have previously owned a home may be eligible.

  • Have sufficient savings to meet the one-off costs of buying a shared ownership home, and access to capital or a mortgage to fund your share of the purchase.

  • Have an annual household income of less than £80,000 or £90,000 per year in London. 

  • Some homes also have geographical eligibility criteria (live or work connections), so it's important to check the listing page of the homes you're interested in.

For detailed information on eligibility and the application process, please refer to our am I eligible page.

 

2. Speak to a Specialist Mortgage Advisor

Shared ownership mortgages are a little different from standard home loans, so it’s essential to speak with a mortgage advisor who has experience with shared ownership schemes. We can recommend trusted mortgage advisors who understand the process and work with lenders that offer shared ownership products.

We do not provide financial advice, but these advisors will be able to provide you with information and guidance about shared ownership mortgages.  

These types of mortgages can differ from standard residential mortgages and may come with additional criteria or restrictions. For example, lenders may have specific eligibility requirements, limits on how much you can borrow, or conditions tied to your share of the property. 

A qualified advisor can help you understand these differences and find a mortgage product that works for your circumstances.

Your advisor will help you:

  • Find a lender that offers shared ownership mortgages

  • Determine how much you can afford to borrow

  • Understand your monthly mortgage and rent payments

  • Navigate the application process with confidence

3. Apply for a Mortgage in Principle

A mortgage in principle is a statement from a lender saying they’re willing to lend you a certain amount, based on your income, expenses, and credit history. 

Obtaining a mortgage in principle for shared ownership is an important step, as it shows us that you’re financially prepared and serious about purchasing your chosen shared ownership property. While it’s a strong indication that you may be able to proceed, it’s not a guarantee - further checks, including full credit assessments, will still take place later in the process. However, having a mortgage in principle can help strengthen your application and speed things up, giving you greater confidence when reserving your dream home.

Most lenders will offer a mortgage in principle free of charge, and it typically remains valid for between 60 and 90 days. Having this agreement ready early on ensures you can move quickly once you've found the right home through us. 

Starting your shared ownership journey with a mortgage in principle gives you a clear understanding of your budget, simplifies the buying process, and demonstrates that you're a committed and ready buyer.

You can use our budget calculator to give you an idea of what the monthly costs for a shared ownership home would be. This will help you to decide what share you can buy and what share will allow you to live comfortably. 

Working out your monthly outgoings can also help you to understand how much you can afford to pay and the share of the property you can afford to purchase. 

 

4. Submit Your Full Mortgage Application for Your Shared Ownership Home

Once you have received your mortgage in principle and successfully reserved your chosen shared ownership home with us, the next crucial step is to submit your full mortgage application. This is the formal process where the lender will assess your financial situation in greater detail before making a final mortgage offer.

When submitting your shared ownership mortgage application, you’ll typically need to provide a range of documents, including:

  • Proof of income, such as recent payslips, P60s, and bank statements, to demonstrate your ability to meet monthly mortgage and rent payments.

  • Proof of identity and address, including a valid passport or driving licence and recent utility bills or bank correspondence.

  • Details of your financial commitments, such as any loans, credit card balances, or other regular outgoing expenses.
     

As part of the application process, the mortgage lender will also carry out a valuation survey on the shared ownership property you intend to purchase. 

Working with a shared ownership mortgage advisor who understands the specific requirements of buying through a shared ownership scheme can help speed up the process and ensure all your documents are accurately prepared. By providing the correct and up to date information quickly, you can move a step closer to securing your affordable shared ownership property and receiving your official mortgage offer.

 

How Moat Homes Supports You

We aren’t just here to offer affordable homes – we’re here to support you throughout your homebuying journey. Our sales team can:

  • Help you understand the shared ownership process

  • Recommend specialist mortgage advisors and solicitors

  • Talk you through what to expect from the affordability assessment process carried out by a mortgage advisor

Provide helpful resources through our Useful Information hub

Ready to Secure Your Shared Ownership Mortgage?

If you're ready to take the next step, browse our available homes and start your shared ownership journey with Moat. From reserving your new property to helping you find a mortgage advisor, we’re here to help you make owning a home affordable, simple, and achievable.

Purchasing a shared ownership home with Moat Homes is a practical way to step onto the property ladder. To guide you through this process, we've outlined the essential steps, ensuring you have a clear understanding of what to expect.

Under shared ownership with Moat, we offer everything from apartments to family homes, so whether you're looking for shared ownership Canterbury, Gravesham or the wider Kent area, we can help you to get started on the property ladder with your dream home today.

Embarking on the shared ownership journey with us is a structured process designed to make homeownership accessible and straightforward. By following these steps and utilising the resources available on our website, you can confidently navigate the path to becoming a shared owner.

Please note: The shared ownership process will vary based on individual circumstances and property specifics. Moat Homes do not provide mortgage or legal advice. All financial assessments and advice must be obtained from a qualified mortgage advisor. All legal advice must be obtained from a qualified conveyancer.
 
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