Housing Secretary Robert Jenrick has announced a new model for shared ownership to help more people onto the property ladder by vastly reducing the minimum initial share, and launching a consultation to ensure new homes deliver the accessibility that families need.
The new shared ownership model will reduce the minimum initial share you can buy in a property from 25% to 10%; allow people to buy additional shares in their home in 1% instalments, with heavily reduced fees and introduce a 10-year period for new shared owners where the landlord will cover the cost of any repairs and maintenance.
A right to shared ownership will be available on the vast majority of rented homes delivered through the new programme, providing tenants with a pathway into ownership by giving them the right to purchase a stake in their home.
In total, the new programme represents the highest single funding commitment to affordable housing in a decade.
The £12.2bn overall investment in affordable housing was confirmed at Budget, which also includes £700m on new homes through the 2016 to 2022 programme.
A new £11.5bn Affordable Homes Programme will be delivered over five years from 2021 to 2026, providing up to 180,000 new homes across the country, should economic conditions allow.
The programme will unlock a further £38bn in public and private investment in affordable housing. New homes will be made available from next year.