Pros And Cons Of Shared Ownership On A Property

Property investment is quite a great investment in the recent era but there are many people who cannot afford to buy a property in full and thus they often go for a part purchase option. Shared ownership is such ownership where a property is being owned by multiple owners in specific percentages. 


  • Rent payments of shared ownership are much lower in comparison to private renting. This is how you can get the opportunity to save a lot of costs. 
  • In this case, established rental conditions are not applicable at all and thus you can now decorate your property as per your preference and requirement without any hassles.
  • With time, you can easily make your share increased and this procedure is popularly called staircasing. In fact, it has now been recognized as one of the biggest benefits of shared property ownership. 
  • If you do not have enough funds for outright purchasing then you can purchase in parts or percentages for becoming a partial or shared owner. In this respect, you do not require arranging for any big deposit.
  • You can now have the advantage of making your share mortgaged for receiving any sort of credit. Only the part you hold will be evaluated on the basis of which the credit amount will be decided by the lender. You can even sell your own part if you wish. 


  • Since the properties owned in share are leasehold always, therefore, ground rent is applicable in this case. Whatever may be your percentage of ownership but full ground rent needs to be paid and it is truly a great disadvantage in this case. 
  • You are not allowed to make personalised alterations to your owned part and for that, you have to take the permission of your co-owners. This restriction might create a great hindrance on the way of customizing your property.
  • If you are a shared owner of any property then finding a proper mortgage-lender can be quite challenging for you. Even if you get the loan then also the mortgage fees will remain quite higher and that will automatically increase your cost at the end of the day. 
  • The property value will decrease if you own quite a smaller share. It might create a huge problem especially at the time of selling the property. You will also not be able to sublet your property easily in this specific case. 
  • Paying stamp duty is very much essential in this case and you cannot avoid the same at all. 

If you want to make a hassle-free part purchase then you have to approach a very sincere shared-ownership solicitor. Shared ownership solicitors London are quite sincere and thus they can enable you in completing the process of shared ownership in a convenient manner without any legal hassles. 

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