The Government announced plans for a shared ownership right to buy in October 2019. During the CIH Housing Festival in September, the return of the right to shared ownership was again discussed – this time as part of its Affordable Homes Programme (AHP).
Controversially, the majority of homes funded by the new AHP will have the right to shared ownership which will allow purchases to start at a reduced 10%, staircasing in 1% shares, and controversially the landlord retaining the obligation to repair for the first 10 years of the lease.
Controversially, the landlord will retain the obligation to repair, 10 years after the cost of the lease, this will not be shared with the shared owner. It is not clear how those costs will be recovered, though this is likely to increase the rent for the remaining term until the full % of the home is purchased.
This is likely to be expensive (for the housing provider and the owner) with multiple legal fees to stair case up in small amounts of 10% of the value of the home