Stamp duty has been abolished for first-time buyers of shared ownership homes

We currently have 170 shared ownership homes in Medway, with a further 153 across north Kent, and believe it offers a vital, low-cost way for people to get themselves on to the housing ladder.

News in the Autumn Budget 2018 that the Chancellor is scrapping stamp duty for first-time buyers of shared ownership homes was welcomed by our Assistant Director of Development and Regeneration, Sarah Paxton, as an important show of support for this form of tenure.

Shared ownership lets you buy a share of your home, usually between 25-75% and pay rent on the rest. You can increase your share and reduce the amount that you’re renting, when your circumstances change.

"It’s great to see the government recognises the benefits of shared ownership as a genuine option for people looking to become homeowners.

"This will be very welcome news for buyers up and down the country but particularly in Medway where the average home now costs more than £244,000* – almost nine times the average salary, and where many are locked out of the housing market completely."

Sarah Paxton Assistant Director of Development and Regeneration 

We're building in excess of 600 new homes over the next three years, of which at least 85% will be affordable. We're building new shared ownership homes in Medway, Maidstone and in Dartford, as part of the Ebbsfleet Garden City.

Our latest landmark scheme, PRIME1, is next to Rochester station and is now marketing with a 25% share of a two-bedroom home selling for £56,250 plus rent on top**.

PRIME1 Corporation Street Rochester

 Our new landmark PRIME1 development in Corporation Street, Rochester

 

Mr Hammond abolished stamp duty for first-time buyers on homes worth up to £300,000, in the 2017 Autumn Budget. But at that stage he didn’t include shared ownership amongst the eligible homes.

The revised policy, which applies to homes worth up to £500,000, will be backdated to include homes bought through shared ownership since last year’s autumn budget.

"Including shared ownership homes in this policy sends out a strong signal that government recognises the work that housing associations have been doing to help first time buyers get a foot on the ladder and is willing to do its bit to help.

"We hope this announcement will help to bring even more awareness of the scheme as an affordable, realistic route for lots of potential buyers, and that it’ll ultimately help to relieve the housing crisis."

Sarah Paxton Assistant Director of Development and Regeneration

Behind the headlines, budget papers show that the government is “inviting proposals from investors willing to collaborate with government to deliver a new wave of shared ownership homes”, this is something we are welcoming.

Since its inception, nearly 300,000 shared ownership properties have been developed in the UK. To buy a shared ownership home from us please visit our new build homes page. To be eligible you need to earn less than £80,000 and not own a home outright currently.

*Stats are according to 2017/18 Home Truths report **Currell PRIME1 brochure


 What to do if you think the revised policy affects you?

If you bought your home through shared ownership after 22 November 2017 you might be entitled to a refund. We can’t definitely say who’ll be affected by this. It applies if you’re a first-time buyer and if your home is worth less than £500,000. Please head to the Government website where there’s more information on the criteria and whether you’ll get a refund. It may also be useful to contact the solicitor you used when you purchased your home, they should be able to give you more information.