Selling Shared Ownership: How to sell your home

Selling a Shared Ownership property isn’t hard, but the process differs a little from a standard home transaction. Here’s everything you need to know to find a buyer, make the sale, and move on.

So, you’ve decided to sell your Shared Ownership home. There are many reasons that owners choose to sell – maybe you’ve decided to move to another city, or your family circumstances have changed. 

Whatever your reasons, the process of selling your Shared Ownership home is straightforward. We’ll walk you through everything you need to know below, but if you have any other questions about Shared Ownership, make sure to check out our comprehensive HOME Hub to find the answers you need.

The 8 steps to selling your home

The specific details of how to sell your Shared Ownership property will depend on factors such as where you’re based, the type of home that you’re selling, and what percentage you currently own. 

However, as a general overview, the steps you’ll take are as follows: 

• 1. Check your lease agreement
• 2. Notify the housing association
• 3. Receive an accurate valuation
• 4. Prepare your home for sale
• 5. Carry out viewings and find a buyer
• 6. Handle offers and negotiations
• 7. Finalise the legal work
• 8. Completion!

1. Check your lease agreement

Selling your Shared Ownership home starts by understanding your obligations as an owner. You’ll find these in your lease agreement, and your terms will lay out things like the nomination period (when your housing association will try to find a buyer) and any restrictions that you may need to be mindful of. 

If you’ve got any queries before the process gets fully underway, don’t hesitate to reach out to our team for a quick chat. We’d be more than happy to talk you through your options and set you up for a seamless transaction.

2. Notify your housing association

You’ll then need to speak to your housing association (if you bought your Shared Ownership home with L&G – this would be us) to let them know that you’re planning to sell. 

This will start the nomination period – typically 4 to 8 weeks – when they have the right to find a buyer from their Shared Ownership network. 

If a buyer’s not found during this period, then you can sell your Shared Ownership home on the open market through an estate agent. This will typically involve the buyer purchasing your share and our share as one complete package, known as ‘back-to-back staircasing’.

3. Receive an accurate valuation

If you’re still in the nomination period stated by your housing association, your property needs to be professionally valued to determine its current market value.

Your housing association will often require you to use a Royal Institution of Chartered Surveyors (RICS) accredited surveyor. The valuation report is usually valid for a specified period – often three months – and you’ll need it to set the sale price of your share.

4. Prepare your home for sale

Whether you’re selling privately or via the housing association, you need to make sure your home is ready for sale. This involves tidying up and making it as presentable as possible. We’ll then work with you to book a professional photographer, who will showcase your home in its best light to attract as many buyers as possible. 

Don’t be afraid to do some light decorating, if you think it will help entice more potential buyers.

5. Carry out viewings and find a buyer

House viewings are an essential part of the buying and selling process. Interested buyers get the opportunity to ask lots of questions about your home, and you (or the estate agent) can give them an idea of what life could be like in their new Shared Ownership property.

6. Handle offers and negotiations

You’ve found a buyer. Now, you’ll need to negotiate the terms of the sale – a process that is typically handled by your solicitor, or the housing association if this takes place during the nomination period. 

The eligibility of the buyer will also need to be checked, to make sure that they meet the criteria for Shared Ownership. This keeps the scheme available to as many people as possible, and prevents very wealthy individuals from buying-up Shared Ownership properties for private gain. 

Once the offer has been accepted, you’re in the final stretch.

7. Legal work and conveyancing

After accepting an offer, the conveyancing process begins. You’ll need a solicitor to handle the legal aspects of the sale. They’ll:

– Draft the contract of sale
– Manage communications with the buyer’s solicitor
– Arrange for the transfer of ownership
– Make sure that all obligations under the Shared Ownership lease are met.

This stage can take several weeks, so keeping in regular contact with your solicitor can help prevent delays.

8. Completion!

Congratulations! Completion is the final step, where the sale is finalised, and ownership is transferred to the buyer.

On the agreed completion date, you’ll receive the funds from the sale, pay off any outstanding mortgage on your share, and settle any fees with your housing association. You’ll also hand over the keys to the new owner.

What fees are involved with selling your Shared Ownership home?

Selling your Shared Ownership home is straightforward, but there are a few costs involved that you’ll need to be aware of.