What is a Shared Ownership Mortgage in Cambridge?

As a mortgage broker in Cambridge, we support first time buyers and home movers looking to buy through the Shared Ownership scheme.

This government-backed initiative is designed to help more people take their first steps onto the property ladder, especially in areas where saving for a full deposit can be difficult.

How does Shared Ownership work?

The Shared Ownership scheme allows you to buy a share of a property and pay rent on the remaining portion. That share can be as little as 10% or as much as 75%, depending on your budget and what’s available locally. The remaining share is owned by a housing association, and you pay a reduced rent on that part each month.

You’ll take out a mortgage to cover the share you’re buying, and you can usually increase your ownership over time through a process called staircasing. This gives you the option to buy more shares later, subject to your finances and the housing association’s terms.

Who is eligible for Shared Ownership?

To qualify for a Shared Ownership mortgage in Cambridge, you must be a UK resident and either a first time buyer or someone who doesn’t currently own a home. Your total household income must be below £80,000, or £90,000 if you’re buying in London.

Most homes available through the scheme are leasehold properties. That means you own the property for a fixed term rather than owning it outright from the start. While this can involve some leasehold-specific considerations, recent updates to the scheme have made Shared Ownership more accessible.

The minimum initial share has been reduced from 25% to 10%, and for new-builds, landlords now take responsibility for repairs and maintenance during the first 10 years.

Applying For a Shared Ownership Mortgage in Cambridge

Our mortgage advisors in Cambridge can walk you through how Shared Ownership works in practice. They’ll check your eligibility, assess your affordability, and explain how the costs compare to a standard mortgage.

We’ll also talk you through other schemes and mortgage options in case Shared Ownership isn’t the right fit for your situation. Our priority is helping you make a choice that works for you and that starts with clear, honest advice.

Costs & Considerations With Shared Ownership

With Shared Ownership in Cambridge, your deposit is based on the share you’re buying, not the full property value. That can make it easier to get on the property ladder, especially in Cambridge where prices are often higher than the national average.

It’s important to know that you’ll need permission from the housing association for major structural changes, and in many cases, you’ll pay rent on the unsold share.

Over time, you may be able to buy further shares and reduce or eliminate your rent payments, though this will depend on your circumstances and the specific terms of the lease.

Selling a Shared Ownership Property

Selling a Shared Ownership home is slightly different from a standard sale. In most cases, if you don’t own 100% of the property, the housing association has the right to find a buyer first. Once you own the full property through staircasing, you’ll be able to sell it on the open market like any other home.

It’s also worth noting that property value changes affect both you and the housing association. If your home increases in value, the cost of buying additional shares will reflect that.

Is Shared Ownership right for you?

Shared Ownership can be a helpful route for first time buyers in Cambridge who are struggling to save a large deposit. By lowering the upfront costs and spreading payments between a mortgage and rent, the scheme makes buying a home more realistic for many households.

That said, Shared Ownership isn’t right for everyone. The availability of properties, leasehold terms, and ongoing costs should all be considered carefully. Our mortgage advisors in Cambridge will explain what to expect and help you decide whether this route is the most suitable based on your circumstances.

To speak with a mortgage advisor about Shared Ownership in Cambridge, you can book a free initial appointment at a time that suits you. We’re available throughout the week, including weekends, and we’re here to help you understand your options clearly from the start.

You can also read more about the Shared Ownership scheme on the government’s website here: https://www.gov.uk/shared-ownership-scheme.

Date Last Edited: July 1, 2025