Shared ownership: what does it involve and am I eligible? – quiz

Shared ownership could be the key to getting on the housing ladder. Photograph: Westend61/Getty Images

1. If we say “shared ownership”, you say ...

   1. That means I share a home with a stranger, right?

   2. It’s when you purchase shares in a limited liability company

   3. A scheme where you buy a share of a property owned by a housing association and pay rent on the remaining proportion

2. Let’s talk money. What’s the minimum deposit required for a shared ownership home?

   1. 5%

   2. 10%

   3. 15%

3. Which of the following age brackets do you think the average shared owner falls into?

   1. 20 to 29

   2. 30 to 39

   3. 40 to 49

4. What do you think housing associations are and what've they got to do with shared ownership?

   1. The department of a council that is responsible for social housing

   2. Not-for-profit organisations set up to provide affordable homes and support local communities

   3. A professional organisation for estate agents

5. What restrictions do you think there are when it comes to decorating?

   1. All decorating choices must be approved by a government inspector

   2. Restrictions? What restrictions? You can build your own conservatory and knock down walls as you please

   3. You’re free to decorate as you please, within reason

6. And how much of a property’s ground rent and service charges are shared owners responsible for paying – and who is responsible for home repairs?

   1. 0%, and repairs are a shared owner's responsibility

   2. 50%, and repairs are a shared owner's responsibility

   3. 100%, and repairs are a shared owner's responsibility

7. “Staircasing” is one of the main terms used around shared ownership. Any idea what it refers to?

   1. A way for shared owners to increase their share of the property

   2. A way for shared owners to pass household costs on to property managers

   3. A way for shared owners living in flats to move into houses

8. How many shared ownership homes do you think there are in England?

   1. 57,000

   2. 107,000

   3. 186,000

9. What's the highest proportion of a property you can purchase with shared ownership?

   1. 50%

   2. 75%

   3. 100%

10. What is the maximum amount your household can earn per year and still be eligible for shared ownership?

    1. £40,000 (£50,000 in London)

    2. £80,000 (£90,000 in London)

    3. £120,000 (£130,000 in London)

Solutions

1:C - Shared ownership has nothing to do with sharing your home with another person. It is another way to buy your home. You buy a percentage, and pay rent on the rest. Buying a percentage means a smaller deposit and smaller mortgage. Usually, you can also carry on buying shares, to own it 100%., 2:A - With shared ownership, you can get on the ladder with just a 5% deposit – and as the deposit is only for the percentage share you're buying, it is far less than on the open market. Dependent on your local housing market prices, when buying a 25% share, your deposit could be as little as £2,000. Bear in mind that in addition, you'll need to pay the usual fees that are associated with buying your own home., 3:B - Although shared ownership is open to people of all ages, 35% of shared ownership buyers are in their 30s. And if you’re over 55 you could be eligible for the Older People’s Shared Ownership scheme., 4:B - Housing associations deliver and manage most shared ownership homes. The money you pay when buying and renting a shared ownership property goes straight back into funding more housing and community projects., 5:C - You don’t need anyone’s permission to hang pictures, strip the hallway, or paint every room a different colour. But any structural changes will be subject to your housing associations' approval. , 6:C - Like any other leasehold, you are responsible for all of the associated charges. This will all be explained in your lease, and it also explains the portion you must pay of any communal charges., 7:A - "Staircasing" is a term that refers to increasing the share of the property you own. You can do it gradually over time, to eventually own your home 100%. Some shared ownership homes (only a few) have a cap on the amount of shares you can buy., 8:C - According to the Regulator of Social Housing, in March 2019 there were approximately 186,000 shared ownership homes in England, and the scheme’s growing all the time. , 9:C - Yes – staircasing means you can usually own your home outright. Although some shared ownership homes have a cap. The cost of buying additional shares is worked out according to the market value or full price of your home in the open market., 10:B - After the 2015 election, the government raised the amount your household can earn per year to be eligible for shared ownership. Household income refers to the combined gross income of the people buying the home. That’s just your income, if you are buying on your own, or the combined income if you’re buying with a partner or friend.

Scores

1. 8 and above.

   Great work – you have a really impressive grasp on what shared ownership means. But there’s always more to learn. Head over to sharedownership.net to find out if you’re eligible for the scheme, and more.

2. 0 and above.

   Oh dear, your shared ownership knowledge is severely lacking! But don’t worry, we’ve got an easy fix for that. Head on over to sharedownership.net to find out exactly what shared ownership is and isn't.

3. 4 and above.

   Not bad at all. Want to learn even more about what shared ownership means – and whether you’re eligible for the scheme? Then head over to sharedownership.net

Head over to sharedownership.net to find out more.