Shared Ownership FAQs

Yes – certainly. We first and foremost want to support people involved with excellent mission and who are in need of affordable accommodation to make that mission possible. However, a core component of our model is working with you to see if there are people in your networks who might be able to lend you money. And you might be surprised – most people are – of who steps forward with an offer of a loan.

If you change jobs – let us know. We’re not going to kick you out of your home. If you are no longer involved in Christian ministry or mission, we will ask you to consider staircasing as soon as you’re able to (that is, purchase the share of the property that you don’t already own off us). That way, we can continue to help more key Christian workers.

Mission Housing’s costs – associated with the purchase, ongoing administration and sales – are included within the rent you will pay on the part of the property you do not own. Some shared owners choose to provide, or has someone able to donate, £5,000 upfront, which then enables us to reduce your ongoing rent payments.

Yes. There is a limited range of shared ownership mortgages available and as Mission Housing is not a Registered Social Landlord, high street banks are unlikely to be willing to provide you with one of their shared ownership mortgages. We have an arrangement with Kingdom Bank and SO Mortgages – who are both keen to work with key Christian workers.

If one, or more, of your lenders would like their money back it is Mission Housing’s responsibility to repay the loan(s). We carefully track when loans are due for repayment and ensure we keep the appropriate level of reserves to meet these commitments.

When we know a lender would like their loan repaid, we will let you know to see if you are in the position to staircase. There is no pressure to do so, but it’s a good time to ask the question.

We would also ask you to see if there is any one in your network who might consider making a loan. We would help develop a new ‘case for support’, which you could perhaps send around with your regular newsletter.

Yes – this is called upward staircasing. Whether you’re in the position to borrow more money on your mortgage or you receive an inheritance, increasing your share in the property is possible. Your percentage increase will be worked out at the property’s current value – not the purchase value. The value is established by commissioning a valuation survey (by a RIC accredited surveyor) – we will pay for this. If there is a mortgage provider involved, there will be legal fees – which you will need to pay. Mission Housing will pay any of our own legal fees incurred during the process. If your share in the property increases to 80% or above, there may be stamp duty to be paid. (See stamp duty FAQ)

Here’s an example:

• Purchase price: £450,000

• Your deposit and mortgage: £200,000 (44.44%)

• You receive a £50,000 inheritance

• Current valuation: £500,000 (meaning your 44.44% share is currently valued at £222,222)

• After you use your additional £50,000 to staircase your share will be 54.44%, with a value of £272,222

Yes – it may well be possible for you to extend your home. The first golden rule is to make sure you speak to us before you commence work! It is vital that before you do anything that we get agreement from lenders who have equity loans in your property, on how your additional investment in the property, along with any uplift in value as a result of the work, will be handled. The second golden rule is to make sure you have all the necessary permissions to do the work, all the regulations are followed correctly, and you receive all the appropriate certifications once the work is completed.

When you are thinking about selling the property, give us as much notice as possible. Initially, just give us a heads up that you’re thinking about it. After you’ve given us your ‘formal notice’, we have three months where we have the option to either purchase your share of the house from you or sell your share to another shared owner. After this period (or sooner if we choose to waive it), you can then appoint estate agents – in discussion with us (both in terms of which estate agents you use and the asking price).

Unless we agree something different, if you sell within the first five years of purchasing the property, it is likely that you will need to pay all the estate agents fees. However, after that, we will be willing to share the estate agent’s fees – based on our respective percentage shares.

(If your share of the property is 40% and ours is 60%, you pay 40% of the estate agents fees, and we pay 60%.)

In usual circumstances – you and Mission Housing can use the same solicitor when selling – we will be prepared to share the legal costs 50/50.