For many buyers across England, shared ownership property is not a compromise, it is the only realistic route to owning a home at all. That is a statement worth sitting with, particularly if you are weighing whether buying shared ownership property makes financial sense for you.
This article does not set out to champion the scheme, nor dismiss it. The question, is shared ownership property worth it, is a very personal decision, so this article aims to lay out the genuine pros and cons of shared ownership property with facts, not platitudes.
What Is Shared Ownership and How Does It Work?
Before examining the pros and cons, it helps to briefly explain shared ownership for those approaching it fresh. The scheme is a government-backed initiative that allows buyers to purchase a share of a property, typically between 10% and 75%, and pay a subsidised rent on the remaining share to a housing association. Buyers need only a deposit for their share rather than the whole property, making it far more accessible for those on modest incomes or with limited savings; they take out a mortgage for that proportion while paying a subsidised rent on the remainder.
Over time, it is possible to increase the share you own in stages, a process known as “staircasing.” Each additional share is bought at market value at the time of purchase, and as the ownership share rises, the rent payable falls, until in principle the occupier owns the home outright.
For more information on this please read How does shared ownership work?
Who Is Eligible for Shared Ownership?
To apply, you must be 18 or older and cannot own another home, though if you do own a property, you must be in the process of selling it. Your annual household income must not exceed £80,000, or £90,000 per year in London. You must also not currently be able to afford a home suitable for your housing needs on the open market.
Shared ownership is not just for first-time buyers. While the scheme is mainly associated with helping people get on the property ladder, it is available to anyone who meets the relevant eligibility and affordability criteria, including upsizers, downsizers and second steppers.
The Scale of the Scheme: Some Perspective
Shared ownership is not a niche product. It is a well-established tenure, having been introduced by the Housing Act 1980, and as at 31 March 2024, shared ownership represented about 6% of registered providers’ stock in England, with around 269,500 low cost home ownership properties.
In 2024–25, there were 20,353 new shared ownership properties delivered, the third-highest number on record. In the same year, an estimated 70% of shared ownership purchases were made by first-time buyers. These are not the numbers of a scheme in decline. Demand remains persistent and, in many parts of the country, significantly outstrips supply.
The Case For: The Genuine Pros of Shared Ownership Property
Lower Entry Costs — and That Matters Enormously
In 2026, the median average home in England cost £300,000, 7.6 times the median annual average earnings of a full-time employee (£39,300). For London, the picture is considerably starker. In 2026, London had the highest affordability ratio, with average homes selling for 10.6 times average earnings. A further £279,000 would be required to buy an average home in addition to five times earnings.
Against that backdrop, the deposit arithmetic of shared ownership becomes immediately compelling. While buying on the open market often requires a deposit based on the full market value of a property, shared ownership may require as little as 5% of your initial share, making the bar for entry much lower, especially in more expensive areas. On a 25% share of a £300,000 property, for instance, you would typically need a minimum 5% deposit on the share you are buying, so for a £75,000 share, that is just £3,750.
The average market price of a shared ownership property in 2025–26 was £323,700, with an average initial equity stake of £121,100, an average initial equity stake of 38%. The average deposit was £22,200. For many buyers, particularly single-income households, that is the difference between owning and renting indefinitely.
Shared Ownership in London: Often the Only Door
Shared ownership in London deserves particular attention. People living in London are least likely to be able to afford home ownership; while salaries are highest in the capital, home ownership rates are low in large part due to high house prices. For a nurse, a teacher, or a young professional earning £40,000–£50,000 and renting in Zone 3, buying shared ownership property may not simply be the easier option, it may be the only one. If you are earning £40,000–£60,000 and want to live in London zones 2–4, shared ownership may be your only realistic route to home ownership; the alternative is renting indefinitely or relocating.
Shared ownership buyers typically have about half the income of open-market buyers and are in general not able to afford a property on the open market in the same location, making shared ownership the main gateway to home ownership for households on incomes between £30,000 and £47,000.
We take a closer look at the capital in our article on shared ownership in London.
Frequently Asked Questions About Shared Ownership
Yes, but the process is more involved than a standard sale. If you do not own 100% of the property, you will need to contact the housing provider first, they have a set number of weeks in which to find a buyer, as outlined in the lease. Once this timeframe is up, the seller can choose an estate agent to market the property.
Yes, though the rules are complex. As a first-time buyer purchasing a shared ownership property, you generally have two options: pay stamp duty on the full property value upfront, which means no further stamp duty even if you later buy the property outright; or pay on your share only, which may reduce upfront costs, though additional charges may apply and you could face higher costs if you staircase to 80% or more. Understanding stamp duty when buying shared ownership is one area where specialist legal advice pays for itself, as the wrong election at the outset can prove costly further down the line.
If you bought under the new model for shared ownership, you will have been issued with a minimum 990-year lease term. However, under the original model, shared owners can be issued with a minimum 99-year lease term. Older properties in the scheme may therefore require attention to lease length, something conveyancing for shared ownership must address carefully.
No, though the majority are. In 2024–25, 20% of shared ownership transactions were resales of existing shared ownership homes, with the remaining transactions being sales of new units.
Stability and the Path to Full Ownership
There is something that financial comparisons often undervalue: the stability of being an owner-occupier. For some households, shared ownership provides a valuable stepping stone into long-term housing security, enabling people to put down roots, enjoy greater stability than private renting, and gradually work towards full ownership.
Staircasing gives buyers flexibility. Shared ownership allows people to buy a bigger share of the property over time, as their finances allow, with the ability to buy additional shares in increments as small as 1%, and some arrangements allow for eventual 100% outright purchase.
The Case Against: The Cons of Shared Ownership Property You Need to Know
Honesty requires balance, and the pros and cons of shared ownership property do not all fall on the same side of the ledger.
You Pay Both Rent and a Mortgage — and the Rent Can Rise
While the initial outlay is lower, shared owners still face two separate sets of payments: the mortgage and the rent. Service charges and ground rent may also apply, particularly in flats. Over time, these combined costs can be similar to or even higher than a standard mortgage on a smaller property.
The rent element is not fixed indefinitely. Survey data on service charges across leasehold properties in England and Wales in 2024 showed the average cost was £3,634 per leaseholder, up from £2,523 in 2019, a 50% increase. The tenure has come under increasing scrutiny as the building safety and cost of living crises have contributed to rising costs for shared owners, raising questions about whether shared ownership can continue to be considered “affordable” homeownership.
Staircasing Can Become Expensive If Prices Rise
The staircasing mechanism is appealing in theory. In practice, each purchase of an additional share is based on the property’s market value at the time, and if prices rise sharply, increasing ownership can become prohibitively expensive. In some cases, shared owners remain long-term partial owners because they cannot afford to buy further shares.
Over the last 15 years, the average market price of shared ownership properties has increased from £164,600 to £313,100, a 90% increase. Between April 2009 and March 2024, the average house price in England increased by 83%, showing that shared ownership properties generally tracked above the wider housing market. Rising values benefit those who have already bought in; they make staircasing progressively harder.
Restrictions on Selling and Alterations
Selling a shared ownership home can be more complicated than selling on the open market. Housing associations typically have the right of first refusal to find a buyer, and sales may take longer to complete. The pool of potential purchasers is smaller, restricted to those who also meet the scheme’s eligibility rules.
Leasehold restrictions can create further frustrations. Some owners have reported difficulties in making alterations or subletting, and leasehold terms may include clauses that add costs or limit flexibility.
You Are Responsible for Full Maintenance Costs
While shared ownership can make the costs associated with buying and owning a home cheaper than buying the property outright, buyers are still responsible for paying full maintenance and repair costs for their property, despite only partially owning it. This is a point that surprises some buyers and should be understood clearly before proceeding.
What the Experts Say
Raminder Uberoi, Partner and Head of Property Law at Starck Uberoi Solicitors, offers this assessment:
“Shared ownership has helped thousands of people achieve home ownership sooner than they otherwise could. The key is understanding both sides of the equation. While the lower entry costs can be attractive, buyers should also consider the ongoing rent, service charges and any restrictions that may apply when they come to sell.”
That is the view of a specialist who has acted for many shared ownership buyers across London and the South East. The scheme works, but only for buyers who go in with their eyes open.
Is Shared Ownership Property Worth It? A Considered Verdict
The honest answer is: it depends on your circumstances, your location, your income, and your long-term intentions for the property.
Shared ownership can be worth it if you cannot afford to buy on the open market and plan to stay in the property for several years. However, it comes with significant downsides, including rising costs, limited flexibility and potential difficulties selling. It works best as a long-term home, not a short-term stepping stone.
For a single professional earning £45,000 who wants to own a home in Ealing, Brentford or another part of Greater London, the pros and cons of shared ownership property tilt firmly towards the pros, particularly given that the alternative is likely to be renting indefinitely at market rates that, across London, averaged £2,168 a month for a two-bedroom home as of December 2025.
For a couple in a lower-cost area who could save a sufficient deposit within two or three years, the picture is different. Buying shared ownership property in a region where outright purchase is achievable with modest further saving may not be the most efficient route.
Geography matters enormously. Of 33 London local authorities, 19 (58%) had affordability ratios above 12 in 2025, meaning the median home cost more than twelve times median earnings in the majority of London boroughs. Shared ownership in London, in that context, is less a preference and more a necessity for a significant proportion of buyers.
The Legal Side: Why Specialist Advice Is Essential
Buying shared ownership property is legally more complex than a standard freehold or leasehold purchase. The lease terms are layered; the stamp duty position requires careful consideration; and the implications of staircasing and eventual resale need to be understood before exchange, not after. A shared ownership solicitor who understands the nuances of the scheme, the priority periods on resale, the repair obligations, the lease extension position, is not a luxury. It is a prerequisite.
If you are thinking of buying a shared ownership property, you will need the advice of a conveyancing solicitor. Shared ownership purchases are more legally involved than a standard transaction, so it pays to use a solicitor with direct experience of the scheme.
About Starck Uberoi Solicitors
Starck Uberoi Solicitors are specialist property lawyers with offices across London and the South East, well placed to advise on all aspects of buying shared ownership property.
Our Brentford solicitors are located on the High Street in a grand three-storey building, just a short distance from Brentford County Court. Our Belgravia solicitors are just a five-minute walk from Victoria tube station in Grosvenor Gardens. Our Ealing solicitors are only a short walk from both Ealing Broadway and South Ealing, and our Richmond solicitors have the pleasure of overlooking the picturesque Richmond Green. Finally, our solicitors in Canterbury are located within the UNESCO World Heritage Site of Canterbury Cathedral. Our partner, Raminder Uberoi, can also offer a Notary Public service at any of our London offices.
To discuss a shared ownership purchase, call 020 8840 6640 or use our online conveyancing calculator for an instant quote.
