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What is a shared equity mortgage?
With a shared equity deal you buy a percentage of your new home while a local authority or landlord purchases the rest. This means that you effectively rent the rest of your house until you can afford to buy the percentage back. Usually, the lender charges normal interest rates on the bulk of the loan, then offers reduced or 0% interest on the rest of the sum. The repayment is therefore less than an unsecured loan, and the lender receives the rest of their money back upon sale of the property.
More shared equity mortgage advice…
As well as shared equity mortgages, you can find a range of other mortgage types that might suit your needs, including:
First time buyer – Find special offers and deals to help you get on the property ladder
Poor/bad credit – No matter what your financial history, you can usually find a deal to suit you
100% mortgages – deals that require no deposit
125% mortgages – Borrow more than the house value to pay for stamp duty, renovations etc.
Self-certified – A different way to arrange a deal if you are unable or unwilling to prove income
Homestake – Government scheme to help people on a low income afford a house
Right to buy – An initiative that allows you to buy your council home at a discount price
Council house purchase – Purchase a council house
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Call us on 0845 603 1525 for more shared equity mortgage advice. Our team is on hand answer any questions that you may have and help you find the best deal on the market.
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