Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 4
4
Paragraph: 46
Shared ownership affordability remains marginal, questioning its effectiveness for full homeownership.
Conclusion
Shared ownership as an ‘affordable homeownership’ scheme is predicated on shared owners being able to save enough money to staircase (eventually to 100%). However, its affordability appears to be so marginal for many shared owners that there is no guarantee that staircasing will be possible for them, and the guidance for Homes England’s Affordability Calculator does not explicitly recommend providers assess the likely affordability of future staircasing for prospective shared owners before the purchase is made. This puts into question the effectiveness of the product as a homeownership scheme.
Paragraph Reference:
46
Government Response
A response document is linked to this report, dated 23 May 2024. Response attribution to this conclusion has not been verified. Read the response document ↗